Back to top

Image: Bigstock

Tenaris S.A. (TS) Stock Moves 0.89%: What You Should Know

Read MoreHide Full Article

Tenaris S.A. (TS - Free Report) closed at $28.45 in the latest trading session, marking a +0.89% move from the prior day. The stock traded in line with S&P 500. Meanwhile, the Dow gained 1.2%, and the Nasdaq, a tech-heavy index, lost 0.68%.

Heading into today, shares of the company had lost 18.94% over the past month, lagging the Industrial Products sector's loss of 9.39% and the S&P 500's loss of 3.9% in that time.

Tenaris S.A. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.66, up 95.29% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.94 billion, up 66.41% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.12 per share and revenue of $15.05 billion. These totals would mark changes of +41.34% and +27.91%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Tenaris S.A.These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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.

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 has moved 15.07% higher. Tenaris S.A. is currently a Zacks Rank #1 (Strong Buy).

Valuation is also important, so investors should note that Tenaris S.A. has a Forward P/E ratio of 4.61 right now. For comparison, its industry has an average Forward P/E of 12.25, which means Tenaris S.A. is trading at a discount to the group.

Investors should also note that TS has a PEG ratio of 2.25 right now. 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. Steel - Pipe and Tube stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.

The Steel - Pipe and Tube industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 11, which puts it in the top 5% 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.

To follow TS in the coming trading sessions, be sure to utilize Zacks.com.


See More Zacks Research for These Tickers


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


Tenaris S.A. (TS) - free report >>

Published in