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Anheuser-Busch Inbev (BUD) Stock Slides as Market Rises: Facts to Know Before You Trade

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The latest trading session saw Anheuser-Busch Inbev (BUD - Free Report) ending at $62.70, denoting a -0.03% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.88%. Elsewhere, the Dow saw an upswing of 0.54%, while the tech-heavy Nasdaq appreciated by 1.35%.

The the stock of brewer has fallen by 0.25% in the past month, lagging the Consumer Staples sector's gain of 4.99% and the S&P 500's gain of 0.64%.

Investors will be eagerly watching for the performance of Anheuser-Busch Inbev in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.80, marking a 18.37% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $15.22 billion, indicating a 3.78% upward movement from the same quarter last year.

Investors should also pay attention to any latest changes in analyst estimates for Anheuser-Busch Inbev. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 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, there's been a 1.53% fall in the Zacks Consensus EPS estimate. Anheuser-Busch Inbev is holding a Zacks Rank of #3 (Hold) right now.

With respect to valuation, Anheuser-Busch Inbev is currently being traded at a Forward P/E ratio of 17.68. This signifies a premium in comparison to the average Forward P/E of 16.39 for its industry.

One should further note that BUD currently holds a PEG ratio of 1.78. 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. BUD's industry had an average PEG ratio of 1.94 as of yesterday's close.

The Beverages - Alcohol industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 54, putting it in the top 22% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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