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Suncor Energy (SU) Dips More Than Broader Markets: What You Should Know

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Suncor Energy (SU - Free Report) closed at $33.52 in the latest trading session, marking a -0.48% move from the prior day. This change lagged the S&P 500's daily loss of 0.07%. Meanwhile, the Dow gained 0.31%, and the Nasdaq, a tech-heavy index, lost 3.22%.

Coming into today, shares of the energy company had gained 6.92% in the past month. In that same time, the Oils-Energy sector gained 3.05%, while the S&P 500 gained 4.64%.

Investors will be hoping for strength from Suncor Energy as it approaches its next earnings release. The company is expected to report EPS of $1.26, up 77.46% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.65 billion, up 9.06% from the year-ago period.

It is also important to note the recent changes to analyst estimates for Suncor Energy. These revisions help to show the ever-changing nature of 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 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. The Zacks Consensus EPS estimate has moved 8.2% lower within the past month. Suncor Energy is currently sporting a Zacks Rank of #3 (Hold).

In terms of valuation, Suncor Energy is currently trading at a Forward P/E ratio of 7.86. For comparison, its industry has an average Forward P/E of 8.69, which means Suncor Energy is trading at a discount to the group.

It is also worth noting that SU currently has a PEG ratio of 0.61. 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. Oil and Gas - Integrated - Canadian stocks are, on average, holding a PEG ratio of 0.46 based on yesterday's closing prices.

The Oil and Gas - Integrated - Canadian industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 190, putting it in the bottom 25% 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.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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