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West Pharmaceutical Services (WST) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, West Pharmaceutical Services (WST - Free Report) closed at $459.84, marking a +1.37% move from the previous day. This change outpaced the S&P 500's 0.62% gain on the day. Elsewhere, the Dow gained 0.55%, while the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the medical device company had gained 6.02% over the past month. This has outpaced the Medical sector's gain of 2.92% and the S&P 500's gain of 0.87% in that time.
West Pharmaceutical Services will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.92, up 43.28% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $709.1 million, up 22.22% from the prior-year quarter.
WST's full-year Zacks Consensus Estimates are calling for earnings of $8.49 per share and revenue of $2.81 billion. These results would represent year-over-year changes of +78.36% and +30.88%, respectively.
It is also important to note the recent changes to analyst estimates for West Pharmaceutical Services. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.69% higher. West Pharmaceutical Services is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that West Pharmaceutical Services has a Forward P/E ratio of 54.16 right now. This valuation marks a premium compared to its industry's average Forward P/E of 20.06.
Meanwhile, WST's PEG ratio is currently 1.96. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WST's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 111, which puts it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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West Pharmaceutical Services (WST) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, West Pharmaceutical Services (WST - Free Report) closed at $459.84, marking a +1.37% move from the previous day. This change outpaced the S&P 500's 0.62% gain on the day. Elsewhere, the Dow gained 0.55%, while the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the medical device company had gained 6.02% over the past month. This has outpaced the Medical sector's gain of 2.92% and the S&P 500's gain of 0.87% in that time.
West Pharmaceutical Services will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.92, up 43.28% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $709.1 million, up 22.22% from the prior-year quarter.
WST's full-year Zacks Consensus Estimates are calling for earnings of $8.49 per share and revenue of $2.81 billion. These results would represent year-over-year changes of +78.36% and +30.88%, respectively.
It is also important to note the recent changes to analyst estimates for West Pharmaceutical Services. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.69% higher. West Pharmaceutical Services is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that West Pharmaceutical Services has a Forward P/E ratio of 54.16 right now. This valuation marks a premium compared to its industry's average Forward P/E of 20.06.
Meanwhile, WST's PEG ratio is currently 1.96. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WST's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 111, which puts it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.