Back to top

Image: Bigstock

Corning (GLW) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Corning (GLW - Free Report) closed at $31.65 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow lost 0.42%, while the tech-heavy Nasdaq added 0.17%.

Coming into today, shares of the specialty glass maker had lost 11.09% in the past month. In that same time, the Computer and Technology sector lost 8.85%, while the S&P 500 lost 6.79%.

Corning will be looking to display strength as it nears its next earnings release. In that report, analysts expect Corning to post earnings of $0.57 per share. This would mark year-over-year growth of 7.55%. Meanwhile, our latest consensus estimate is calling for revenue of $3.79 billion, up 8.19% from the prior-year quarter.

GLW's full-year Zacks Consensus Estimates are calling for earnings of $2.36 per share and revenue of $15.37 billion. These results would represent year-over-year changes of +14.01% and +8.87%, respectively.

Investors might also notice recent changes to analyst estimates for Corning. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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 remained stagnant within the past month. Corning is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, Corning currently has a Forward P/E ratio of 13.52. This valuation marks a discount compared to its industry's average Forward P/E of 15.09.

It is also worth noting that GLW currently has a PEG ratio of 2.18. 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. GLW's industry had an average PEG ratio of 1.66 as of yesterday's close.

The Communication - Components industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 38% 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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Corning Incorporated (GLW) - free report >>

Published in