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Golar LNG (GLNG) Stock Sinks As Market Gains: What You Should Know

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Golar LNG (GLNG - Free Report) closed the most recent trading day at $22.24, moving -0.4% from the previous trading session. This move lagged the S&P 500's daily gain of 0.09%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 2.51%.

Heading into today, shares of the operator of carriers for natural gas shipping had gained 8.98% over the past month, outpacing the Transportation sector's gain of 3.83% and the S&P 500's gain of 6.17% in that time.

Wall Street will be looking for positivity from Golar LNG as it approaches its next earnings report date. The company is expected to report EPS of $1.19, up 250% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $72.97 million, down 5.56% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.40 per share and revenue of $268.3 million. These totals would mark changes of +48.15% and +0.21%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for Golar LNG. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 10.56% higher. Golar LNG is currently sporting a Zacks Rank of #1 (Strong Buy).

In terms of valuation, Golar LNG is currently trading at a Forward P/E ratio of 9.3. Its industry sports an average Forward P/E of 6.68, so we one might conclude that Golar LNG is trading at a premium comparatively.

The Transportation - Shipping industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 83, which puts it in the top 33% 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 Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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