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Chefs' Warehouse (CHEF) Stock Moves -1.43%: What You Should Know

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In the latest trading session, Chefs' Warehouse (CHEF - Free Report) closed at $34.37, marking a -1.43% move from the previous day. This change was narrower than the S&P 500's 1.71% loss on the day. Meanwhile, the Dow lost 1.7%, and the Nasdaq, a tech-heavy index, lost 0.09%.

Heading into today, shares of the distributor of specialty food products had gained 2.35% over the past month, outpacing the Consumer Staples sector's loss of 6.72% and the S&P 500's loss of 8.68% in that time.

Chefs' Warehouse will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.26, up 116.67% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $593.44 million, up 22.53% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.36 per share and revenue of $2.46 billion, which would represent changes of +2820% and +40.73%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Chefs' Warehouse. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Chefs' Warehouse currently has a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, Chefs' Warehouse is holding a Forward P/E ratio of 25.73. Its industry sports an average Forward P/E of 17.91, so we one might conclude that Chefs' Warehouse is trading at a premium comparatively.

The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 166, which puts it in the bottom 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.

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