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EOG Resources (EOG) Gains As Market Dips: What You Should Know

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EOG Resources (EOG - Free Report) closed the most recent trading day at $110.87, moving +0.49% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.53%.

Heading into today, shares of the oil and gas company had lost 2.76% over the past month, lagging the Oils-Energy sector's gain of 1.09% and the S&P 500's gain of 4.86% in that time.

Investors will be hoping for strength from EOG Resources as it approaches its next earnings release, which is expected to be August 3, 2023. On that day, EOG Resources is projected to report earnings of $2.57 per share, which would represent a year-over-year decline of 6.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.6 billion, down 24.4% from the year-ago period.

EOG's full-year Zacks Consensus Estimates are calling for earnings of $11.34 per share and revenue of $23.7 billion. These results would represent year-over-year changes of -17.59% and -7.79%, respectively.

Investors should also note any recent changes to analyst estimates for EOG Resources. Recent revisions tend to reflect the latest 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

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. Within the past 30 days, our consensus EPS projection has moved 3.94% lower. EOG Resources is currently a Zacks Rank #3 (Hold).

Looking at its valuation, EOG Resources is holding a Forward P/E ratio of 9.73. Its industry sports an average Forward P/E of 7.22, so we one might conclude that EOG Resources is trading at a premium comparatively.

It is also worth noting that EOG currently has a PEG ratio of 0.34. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Exploration and Production - United States was holding an average PEG ratio of 0.37 at yesterday's closing price.

The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 217, putting it in the bottom 14% 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.

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


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