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Dow Inc. (DOW) Gains But Lags Market: What You Should Know
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Dow Inc. (DOW - Free Report) closed the most recent trading day at $53.26, moving +0.04% from the previous trading session. This change lagged the S&P 500's 1.23% gain on the day. Elsewhere, the Dow gained 0.84%, while the tech-heavy Nasdaq lost 2.24%.
Prior to today's trading, shares of the materials science had gained 8.65% over the past month. This has outpaced the Basic Materials sector's gain of 5.3% and the S&P 500's gain of 4.67% in that time.
Investors will be hoping for strength from Dow Inc. as it approaches its next earnings release, which is expected to be July 25, 2023. The company is expected to report EPS of $0.71, down 69.26% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.38 billion, down 27.36% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.97 per share and revenue of $47.67 billion, which would represent changes of -52.48% and -16.23%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Dow Inc.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. The Zacks Consensus EPS estimate has moved 6.77% lower within the past month. Dow Inc. is currently a Zacks Rank #3 (Hold).
In terms of valuation, Dow Inc. is currently trading at a Forward P/E ratio of 17.93. This represents a premium compared to its industry's average Forward P/E of 14.45.
Also, we should mention that DOW has a PEG ratio of 3.59. 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. The Chemical - Diversified was holding an average PEG ratio of 1.41 at yesterday's closing price.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 31% 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.
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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Dow Inc. (DOW) Gains But Lags Market: What You Should Know
Dow Inc. (DOW - Free Report) closed the most recent trading day at $53.26, moving +0.04% from the previous trading session. This change lagged the S&P 500's 1.23% gain on the day. Elsewhere, the Dow gained 0.84%, while the tech-heavy Nasdaq lost 2.24%.
Prior to today's trading, shares of the materials science had gained 8.65% over the past month. This has outpaced the Basic Materials sector's gain of 5.3% and the S&P 500's gain of 4.67% in that time.
Investors will be hoping for strength from Dow Inc. as it approaches its next earnings release, which is expected to be July 25, 2023. The company is expected to report EPS of $0.71, down 69.26% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.38 billion, down 27.36% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.97 per share and revenue of $47.67 billion, which would represent changes of -52.48% and -16.23%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Dow Inc.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. The Zacks Consensus EPS estimate has moved 6.77% lower within the past month. Dow Inc. is currently a Zacks Rank #3 (Hold).
In terms of valuation, Dow Inc. is currently trading at a Forward P/E ratio of 17.93. This represents a premium compared to its industry's average Forward P/E of 14.45.
Also, we should mention that DOW has a PEG ratio of 3.59. 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. The Chemical - Diversified was holding an average PEG ratio of 1.41 at yesterday's closing price.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 31% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.