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SQM (SQM) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, SQM (SQM - Free Report) closed at $56.78, marking a -1.27% move from the previous day. This change lagged the S&P 500's 0.23% loss on the day. Meanwhile, the Dow lost 0.31%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Heading into today, shares of the chemicals company had lost 11.74% over the past month, lagging the Basic Materials sector's loss of 2.9% and the S&P 500's loss of 1.43% in that time.
SQM will be looking to display strength as it nears its next earnings release. In that report, analysts expect SQM to post earnings of $2.73 per share. This would mark a year-over-year decline of 29.09%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.38 billion, down 19.52% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $11.06 per share and revenue of $9.42 billion, which would represent changes of -19.15% and -12.02%, respectively, from the prior year.
Any recent changes to analyst estimates for SQM should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SQM is currently a Zacks Rank #3 (Hold).
In terms of valuation, SQM is currently trading at a Forward P/E ratio of 5.2. Its industry sports an average Forward P/E of 11.18, so we one might conclude that SQM is trading at a discount comparatively.
Meanwhile, SQM's PEG ratio is currently 0.35. 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. Fertilizers stocks are, on average, holding a PEG ratio of 1.49 based on yesterday's closing prices.
The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 213, which puts it in the bottom 16% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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SQM (SQM) Dips More Than Broader Markets: What You Should Know
In the latest trading session, SQM (SQM - Free Report) closed at $56.78, marking a -1.27% move from the previous day. This change lagged the S&P 500's 0.23% loss on the day. Meanwhile, the Dow lost 0.31%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Heading into today, shares of the chemicals company had lost 11.74% over the past month, lagging the Basic Materials sector's loss of 2.9% and the S&P 500's loss of 1.43% in that time.
SQM will be looking to display strength as it nears its next earnings release. In that report, analysts expect SQM to post earnings of $2.73 per share. This would mark a year-over-year decline of 29.09%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.38 billion, down 19.52% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $11.06 per share and revenue of $9.42 billion, which would represent changes of -19.15% and -12.02%, respectively, from the prior year.
Any recent changes to analyst estimates for SQM should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SQM is currently a Zacks Rank #3 (Hold).
In terms of valuation, SQM is currently trading at a Forward P/E ratio of 5.2. Its industry sports an average Forward P/E of 11.18, so we one might conclude that SQM is trading at a discount comparatively.
Meanwhile, SQM's PEG ratio is currently 0.35. 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. Fertilizers stocks are, on average, holding a PEG ratio of 1.49 based on yesterday's closing prices.
The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 213, which puts it in the bottom 16% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.