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Albemarle (ALB) Gains But Lags Market: What You Should Know
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In the latest trading session, Albemarle (ALB - Free Report) closed at $227.07, marking a +0.82% move from the previous day. This change lagged the S&P 500's 1.15% gain on the day. Meanwhile, the Dow gained 0.63%, and the Nasdaq, a tech-heavy index, added 7.23%.
Prior to today's trading, shares of the specialty chemicals company had gained 10.41% over the past month. This has outpaced the Basic Materials sector's gain of 4.33% and the S&P 500's gain of 3.08% in that time.
Investors will be hoping for strength from Albemarle as it approaches its next earnings release. The company is expected to report EPS of $4.28, up 24.06% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.56 billion, up 73.09% from the year-ago period.
ALB's full-year Zacks Consensus Estimates are calling for earnings of $22.77 per share and revenue of $10.28 billion. These results would represent year-over-year changes of +3.69% and +40.49%, respectively.
Investors might also notice recent changes to analyst estimates for Albemarle. These revisions help to show the ever-changing nature of near-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. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.47% higher. Albemarle is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Albemarle is currently trading at a Forward P/E ratio of 9.89. Its industry sports an average Forward P/E of 14.35, so we one might conclude that Albemarle is trading at a discount comparatively.
Meanwhile, ALB's PEG ratio is currently 0.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.42 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Albemarle (ALB) Gains But Lags Market: What You Should Know
In the latest trading session, Albemarle (ALB - Free Report) closed at $227.07, marking a +0.82% move from the previous day. This change lagged the S&P 500's 1.15% gain on the day. Meanwhile, the Dow gained 0.63%, and the Nasdaq, a tech-heavy index, added 7.23%.
Prior to today's trading, shares of the specialty chemicals company had gained 10.41% over the past month. This has outpaced the Basic Materials sector's gain of 4.33% and the S&P 500's gain of 3.08% in that time.
Investors will be hoping for strength from Albemarle as it approaches its next earnings release. The company is expected to report EPS of $4.28, up 24.06% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.56 billion, up 73.09% from the year-ago period.
ALB's full-year Zacks Consensus Estimates are calling for earnings of $22.77 per share and revenue of $10.28 billion. These results would represent year-over-year changes of +3.69% and +40.49%, respectively.
Investors might also notice recent changes to analyst estimates for Albemarle. These revisions help to show the ever-changing nature of near-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. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.47% higher. Albemarle is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Albemarle is currently trading at a Forward P/E ratio of 9.89. Its industry sports an average Forward P/E of 14.35, so we one might conclude that Albemarle is trading at a discount comparatively.
Meanwhile, ALB's PEG ratio is currently 0.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.42 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.