Cerner closed at $93.70 in the latest trading session, marking a +0.39% move from the prior day. The stock outpaced the S&P 500's daily loss of 2.77%. Elsewhere, the Dow lost 2.82%, while the tech-heavy Nasdaq lost 0.83%.
Heading into today, shares of the health care information technology company had lost 0.33% over the past month, lagging the Medical sector's loss of 0.16% and outpacing the S&P 500's loss of 1.35% in that time.
Cerner will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cerner to post earnings of $0.89 per share. This would mark year-over-year growth of 17.11%. Meanwhile, our latest consensus estimate is calling for revenue of $1.47 billion, up 5.65% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.66 per share and revenue of $6.05 billion. These totals would mark changes of +9.25% and +4.9%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Cerner. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 0.61% lower. Cerner is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Cerner is currently trading at a Forward P/E ratio of 25.51. This valuation marks a premium compared to its industry's average Forward P/E of 21.41.
Also, we should mention that CERN has a PEG ratio of 2. 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. The Medical Info Systems was holding an average PEG ratio of 1.52 at yesterday's closing price.
The Medical Info Systems industry is part of the Medical sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 36% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Cerner (CERN) Gains As Market Dips: What You Should Know
Cerner closed at $93.70 in the latest trading session, marking a +0.39% move from the prior day. The stock outpaced the S&P 500's daily loss of 2.77%. Elsewhere, the Dow lost 2.82%, while the tech-heavy Nasdaq lost 0.83%.
Heading into today, shares of the health care information technology company had lost 0.33% over the past month, lagging the Medical sector's loss of 0.16% and outpacing the S&P 500's loss of 1.35% in that time.
Cerner will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cerner to post earnings of $0.89 per share. This would mark year-over-year growth of 17.11%. Meanwhile, our latest consensus estimate is calling for revenue of $1.47 billion, up 5.65% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.66 per share and revenue of $6.05 billion. These totals would mark changes of +9.25% and +4.9%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Cerner. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 0.61% lower. Cerner is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Cerner is currently trading at a Forward P/E ratio of 25.51. This valuation marks a premium compared to its industry's average Forward P/E of 21.41.
Also, we should mention that CERN has a PEG ratio of 2. 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. The Medical Info Systems was holding an average PEG ratio of 1.52 at yesterday's closing price.
The Medical Info Systems industry is part of the Medical sector. This group has a Zacks Industry Rank of 163, putting it in the bottom 36% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.