Back to top

Image: Bigstock

SunOpta (STKL) Stock Declines While Market Improves: Some Information for Investors

Read MoreHide Full Article

In the latest trading session, SunOpta (STKL - Free Report) closed at $3.78, marking a -1.56% move from the previous day. This move lagged the S&P 500's daily gain of 1.05%. Meanwhile, the Dow gained 0.67%, and the Nasdaq, a tech-heavy index, added 1.64%.

Heading into today, shares of the natural and organic food company had gained 20% over the past month, outpacing the Consumer Staples sector's gain of 0.12% and the S&P 500's loss of 2.21% in that time.

The investment community will be closely monitoring the performance of SunOpta in its forthcoming earnings report. The company is scheduled to release its earnings on November 8, 2023. The company is forecasted to report an EPS of -$0.01, showcasing a 150% downward movement from the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.02 per share and revenue of $885 million, indicating changes of -75% and -5.31%, respectively, compared to the previous year.

Any recent changes to analyst estimates for SunOpta should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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.

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 remained steady. Currently, SunOpta is carrying a Zacks Rank of #4 (Sell).

Digging into valuation, SunOpta currently has a Forward P/E ratio of 192. For comparison, its industry has an average Forward P/E of 15.33, which means SunOpta is trading at a premium to the group.

The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 197, finds itself in the bottom 22% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

SunOpta, Inc. (STKL) - free report >>

Published in