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Intrepid Potash (IPI) Gains As Market Dips: What You Should Know

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Intrepid Potash (IPI - Free Report) closed at $38.25 in the latest trading session, marking a +0.47% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 0.67%, and the Nasdaq, a tech-heavy index, lost 0.05%.

Coming into today, shares of the potash and fertilizer producer had lost 33.49% in the past month. In that same time, the Basic Materials sector lost 22.59%, while the S&P 500 lost 1.89%.

Wall Street will be looking for positivity from Intrepid Potash as it approaches its next earnings report date. The company is expected to report EPS of $1.92, up 249.09% from the prior-year quarter. 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.

Any recent changes to analyst estimates for Intrepid Potash should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Intrepid Potash is currently a Zacks Rank #3 (Hold).

In terms of valuation, Intrepid Potash is currently trading at a Forward P/E ratio of 4.04. For comparison, its industry has an average Forward P/E of 4.32, which means Intrepid Potash is trading at a discount to the group.

The Fertilizers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 88, putting it in the top 35% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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