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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 $41.97, marking a +0.48% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.13%. Elsewhere, the Dow lost 0.15%, while the tech-heavy Nasdaq added 0.14%.
Prior to today's trading, shares of the drug developer had lost 7.18% over the past month. This has lagged the Medical sector's loss of 5.23% and the S&P 500's loss of 3.32% in that time.
GlaxoSmithKline will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.67, down 15.19% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.8 billion, down 31.04% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.16 per share and revenue of $41.51 billion, which would represent changes of +1.61% and -11.47%, respectively, from the prior year.
Any recent changes to analyst estimates for GlaxoSmithKline should also be noted by investors. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.63% lower. GlaxoSmithKline is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GlaxoSmithKline has a Forward P/E ratio of 13.21 right now. This valuation marks a premium compared to its industry's average Forward P/E of 12.63.
Also, we should mention that GSK has a PEG ratio of 1.87. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. GSK's industry had an average PEG ratio of 2.07 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 155, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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 $41.97, marking a +0.48% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.13%. Elsewhere, the Dow lost 0.15%, while the tech-heavy Nasdaq added 0.14%.
Prior to today's trading, shares of the drug developer had lost 7.18% over the past month. This has lagged the Medical sector's loss of 5.23% and the S&P 500's loss of 3.32% in that time.
GlaxoSmithKline will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.67, down 15.19% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.8 billion, down 31.04% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.16 per share and revenue of $41.51 billion, which would represent changes of +1.61% and -11.47%, respectively, from the prior year.
Any recent changes to analyst estimates for GlaxoSmithKline should also be noted by investors. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.63% lower. GlaxoSmithKline is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GlaxoSmithKline has a Forward P/E ratio of 13.21 right now. This valuation marks a premium compared to its industry's average Forward P/E of 12.63.
Also, we should mention that GSK has a PEG ratio of 1.87. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. GSK's industry had an average PEG ratio of 2.07 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 155, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.