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Cal-Maine Foods (CALM) Gains But Lags Market: What You Should Know

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Cal-Maine Foods (CALM - Free Report) closed the most recent trading day at $45, moving +0.36% from the previous trading session. This change lagged the S&P 500's 1.23% gain on the day. At the same time, the Dow added 0.84%, and the tech-heavy Nasdaq lost 2.24%.

Heading into today, shares of the egg producer had lost 4.7% over the past month, lagging the Basic Materials sector's gain of 5.3% and the S&P 500's gain of 4.67% in that time.

Wall Street will be looking for positivity from Cal-Maine Foods as it approaches its next earnings report date. In that report, analysts expect Cal-Maine Foods to post earnings of $1.38 per share. This would mark a year-over-year decline of 38.67%.

Investors might also notice recent changes to analyst estimates for Cal-Maine Foods. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Over the past month, the Zacks Consensus EPS estimate has moved 1.51% lower. Cal-Maine Foods currently has a Zacks Rank of #4 (Sell).

Looking at its valuation, Cal-Maine Foods is holding a Forward P/E ratio of 9.19. Its industry sports an average Forward P/E of 13.22, so we one might conclude that Cal-Maine Foods is trading at a discount comparatively.

Investors should also note that CALM has a PEG ratio of 0.55 right now. 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. CALM's industry had an average PEG ratio of 0.55 as of yesterday's close.

The Agriculture - Products industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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