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GSK (GSK) Gains But Lags Market: What You Should Know
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In the latest trading session, GSK (GSK - Free Report) closed at $35.30, marking a +0.89% move from the previous day. This change lagged the S&P 500's 1.49% gain on the day. Elsewhere, the Dow gained 1.6%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the drug developer had gained 3.37% over the past month, outpacing the Medical sector's gain of 1.52% and the S&P 500's loss of 3.49% in that time.
GSK will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.62, down 27.91% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.81 billion, down 39.2% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.28 per share and revenue of $36.03 billion. These totals would mark changes of -15.68% and -23.16%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for GSK. These recent revisions tend to reflect the evolving nature of short-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. 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.
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 0.43% higher. GSK currently has a Zacks Rank of #2 (Buy).
Digging into valuation, GSK currently has a Forward P/E ratio of 10.67. Its industry sports an average Forward P/E of 17.38, so we one might conclude that GSK is trading at a discount comparatively.
We can also see that GSK currently has a PEG ratio of 1.23. 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. The Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.32 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 66, putting it in the top 27% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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GSK (GSK) Gains But Lags Market: What You Should Know
In the latest trading session, GSK (GSK - Free Report) closed at $35.30, marking a +0.89% move from the previous day. This change lagged the S&P 500's 1.49% gain on the day. Elsewhere, the Dow gained 1.6%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the drug developer had gained 3.37% over the past month, outpacing the Medical sector's gain of 1.52% and the S&P 500's loss of 3.49% in that time.
GSK will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.62, down 27.91% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.81 billion, down 39.2% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.28 per share and revenue of $36.03 billion. These totals would mark changes of -15.68% and -23.16%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for GSK. These recent revisions tend to reflect the evolving nature of short-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. 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.
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 0.43% higher. GSK currently has a Zacks Rank of #2 (Buy).
Digging into valuation, GSK currently has a Forward P/E ratio of 10.67. Its industry sports an average Forward P/E of 17.38, so we one might conclude that GSK is trading at a discount comparatively.
We can also see that GSK currently has a PEG ratio of 1.23. 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. The Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.32 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 66, putting it in the top 27% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.