Back to top

Image: Bigstock

Bunge (BG) Stock Moves -1.98%: What You Should Know

Read MoreHide Full Article

Bunge (BG - Free Report) closed the most recent trading day at $82.24, moving -1.98% from the previous trading session. This change was narrower than the S&P 500's 2.11% loss on the day. Elsewhere, the Dow lost 1.54%, while the tech-heavy Nasdaq lost 0.3%.

Prior to today's trading, shares of the agribusiness and food company had lost 15.4% over the past month. This has lagged the Basic Materials sector's loss of 10.54% and the S&P 500's loss of 8.19% in that time.

Wall Street will be looking for positivity from Bunge as it approaches its next earnings report date. This is expected to be October 26, 2022. The company is expected to report EPS of $2.59, down 30.38% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $16.1 billion, up 14.08% from the year-ago period.

BG's full-year Zacks Consensus Estimates are calling for earnings of $12.65 per share and revenue of $67.87 billion. These results would represent year-over-year changes of -2.17% and +14.74%, respectively.

Any recent changes to analyst estimates for Bunge 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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Within the past 30 days, our consensus EPS projection remained stagnant. Bunge currently has a Zacks Rank of #3 (Hold).

Digging into valuation, Bunge currently has a Forward P/E ratio of 6.63. For comparison, its industry has an average Forward P/E of 7.72, which means Bunge is trading at a discount to the group.

Meanwhile, BG's PEG ratio is currently 0.99. 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. BG's industry had an average PEG ratio of 3.35 as of yesterday's close.

The Agriculture - Products industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 37% 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 BG in the coming trading sessions, be sure to utilize

In-Depth Zacks Research for the Tickers Above

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

Bunge Limited (BG) - free report >>

Published in