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Intrepid Potash (IPI) Outpaces Stock Market Gains: What You Should Know

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Intrepid Potash (IPI - Free Report) closed at $63.35 in the latest trading session, marking a +1.17% move from the prior day. This move outpaced the S&P 500's daily gain of 0.95%. At the same time, the Dow added 0.8%, and the tech-heavy Nasdaq lost 0.28%.

Prior to today's trading, shares of the potash and fertilizer producer had gained 3.8% over the past month. This has outpaced the Basic Materials sector's gain of 3.51% and the S&P 500's gain of 0.1% in that time.

Intrepid Potash will be looking to display strength as it nears its next earnings release. On that day, Intrepid Potash is projected to report earnings of $1.92 per share, which would represent year-over-year growth of 249.09%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $84.75 million, up 46.7% from the year-ago period.

IPI's full-year Zacks Consensus Estimates are calling for earnings of $9.42 per share and revenue of $380.67 million. These results would represent year-over-year changes of +477.91% and +63.77%, respectively.

It is also important to note the recent changes to analyst estimates for Intrepid Potash. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. The Zacks Consensus EPS estimate has moved 34% higher within the past month. Intrepid Potash is currently a Zacks Rank #1 (Strong Buy).

In terms of valuation, Intrepid Potash is currently trading at a Forward P/E ratio of 6.65. This represents a premium compared to its industry's average Forward P/E of 5.63.

The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 3, which puts it in the top 2% 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.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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