We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
HSBC (HSBC) Stock Sinks As Market Gains: What You Should Know
Read MoreHide Full Article
In the latest trading session, HSBC (HSBC - Free Report) closed at $36.05, marking a -0.5% move from the previous day. This change lagged the S&P 500's daily gain of 0.83%. Elsewhere, the Dow gained 0.8%, while the tech-heavy Nasdaq added 4.46%.
Prior to today's trading, shares of the bank had gained 5.66% over the past month. This has outpaced the Finance sector's gain of 3.88% and the S&P 500's gain of 4.04% in that time.
HSBC will be looking to display strength as it nears its next earnings release. On that day, HSBC is projected to report earnings of $1.30 per share, which would represent year-over-year growth of 85.71%. Meanwhile, our latest consensus estimate is calling for revenue of $15.46 billion, up 23.21% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.04 per share and revenue of $62.02 billion. These totals would mark changes of +90.27% and +12.06%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for HSBC. 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.
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.
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. The Zacks Consensus EPS estimate has moved 17.71% higher within the past month. HSBC is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that HSBC has a Forward P/E ratio of 5.15 right now. This represents a discount compared to its industry's average Forward P/E of 7.41.
Also, we should mention that HSBC has a PEG ratio of 0.3. 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. Banks - Foreign stocks are, on average, holding a PEG ratio of 1.02 based on yesterday's closing prices.
The Banks - Foreign industry is part of the Finance sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
HSBC (HSBC) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, HSBC (HSBC - Free Report) closed at $36.05, marking a -0.5% move from the previous day. This change lagged the S&P 500's daily gain of 0.83%. Elsewhere, the Dow gained 0.8%, while the tech-heavy Nasdaq added 4.46%.
Prior to today's trading, shares of the bank had gained 5.66% over the past month. This has outpaced the Finance sector's gain of 3.88% and the S&P 500's gain of 4.04% in that time.
HSBC will be looking to display strength as it nears its next earnings release. On that day, HSBC is projected to report earnings of $1.30 per share, which would represent year-over-year growth of 85.71%. Meanwhile, our latest consensus estimate is calling for revenue of $15.46 billion, up 23.21% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.04 per share and revenue of $62.02 billion. These totals would mark changes of +90.27% and +12.06%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for HSBC. 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.
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.
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. The Zacks Consensus EPS estimate has moved 17.71% higher within the past month. HSBC is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that HSBC has a Forward P/E ratio of 5.15 right now. This represents a discount compared to its industry's average Forward P/E of 7.41.
Also, we should mention that HSBC has a PEG ratio of 0.3. 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. Banks - Foreign stocks are, on average, holding a PEG ratio of 1.02 based on yesterday's closing prices.
The Banks - Foreign industry is part of the Finance sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.