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GlaxoSmithKline (GSK) Gains As Market Dips: What You Should Know
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In the latest trading session, GlaxoSmithKline (GSK - Free Report) closed at $42.80, marking a +0.28% move from the previous day. This change outpaced the S&P 500's 0.72% loss on the day.
Prior to today's trading, shares of the drug developer had lost 1.16% over the past month. This has was narrower than the Medical sector's loss of 3.4% and lagged the S&P 500's gain of 0.11% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. In that report, analysts expect GlaxoSmithKline to post earnings of $0.67 per share. This would mark year-over-year growth of 8.06%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.8 billion, up 10.89% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.05 per share and revenue of $45.98 billion. These totals would mark changes of +2.35% and +4.95%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for GlaxoSmithKline. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. GlaxoSmithKline is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, GlaxoSmithKline currently has a Forward P/E ratio of 14.02. For comparison, its industry has an average Forward P/E of 12.79, which means GlaxoSmithKline is trading at a premium to the group.
Investors should also note that GSK has a PEG ratio of 2.42 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.94 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 96, putting it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GSK in the coming trading sessions, be sure to utilize Zacks.com.
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GlaxoSmithKline (GSK) Gains As Market Dips: What You Should Know
In the latest trading session, GlaxoSmithKline (GSK - Free Report) closed at $42.80, marking a +0.28% move from the previous day. This change outpaced the S&P 500's 0.72% loss on the day.
Prior to today's trading, shares of the drug developer had lost 1.16% over the past month. This has was narrower than the Medical sector's loss of 3.4% and lagged the S&P 500's gain of 0.11% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. In that report, analysts expect GlaxoSmithKline to post earnings of $0.67 per share. This would mark year-over-year growth of 8.06%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.8 billion, up 10.89% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.05 per share and revenue of $45.98 billion. These totals would mark changes of +2.35% and +4.95%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for GlaxoSmithKline. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. GlaxoSmithKline is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, GlaxoSmithKline currently has a Forward P/E ratio of 14.02. For comparison, its industry has an average Forward P/E of 12.79, which means GlaxoSmithKline is trading at a premium to the group.
Investors should also note that GSK has a PEG ratio of 2.42 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.94 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 96, putting it in the top 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GSK in the coming trading sessions, be sure to utilize Zacks.com.