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BP (BP) Increases Yet Falls Behind Market: What Investors Need to Know
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In the latest trading session, BP (BP - Free Report) closed at $35.13, marking a +0.09% move from the previous day. The stock lagged the S&P 500's daily gain of 1.25%. At the same time, the Dow added 0.97%, and the tech-heavy Nasdaq gained 1.3%.
The oil and gas company's shares have seen a decrease of 2.5% over the last month, not keeping up with the Oils-Energy sector's loss of 1.82% and the S&P 500's gain of 1.58%.
The investment community will be closely monitoring the performance of BP in its forthcoming earnings report. The company is scheduled to release its earnings on February 6, 2024. The company's earnings per share (EPS) are projected to be $1.09, reflecting a 31.45% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $59.53 billion, down 15.39% from the year-ago period.
Investors should also note any recent changes to analyst estimates for BP. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 9.27% fall in the Zacks Consensus EPS estimate. BP is currently a Zacks Rank #4 (Sell).
Looking at valuation, BP is presently trading at a Forward P/E ratio of 7.05. Its industry sports an average Forward P/E of 6.74, so one might conclude that BP is trading at a premium comparatively.
Meanwhile, BP's PEG ratio is currently 1.08. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Oil and Gas - Integrated - International industry had an average PEG ratio of 0.85.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 180, positioning it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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BP (BP) Increases Yet Falls Behind Market: What Investors Need to Know
In the latest trading session, BP (BP - Free Report) closed at $35.13, marking a +0.09% move from the previous day. The stock lagged the S&P 500's daily gain of 1.25%. At the same time, the Dow added 0.97%, and the tech-heavy Nasdaq gained 1.3%.
The oil and gas company's shares have seen a decrease of 2.5% over the last month, not keeping up with the Oils-Energy sector's loss of 1.82% and the S&P 500's gain of 1.58%.
The investment community will be closely monitoring the performance of BP in its forthcoming earnings report. The company is scheduled to release its earnings on February 6, 2024. The company's earnings per share (EPS) are projected to be $1.09, reflecting a 31.45% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $59.53 billion, down 15.39% from the year-ago period.
Investors should also note any recent changes to analyst estimates for BP. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 9.27% fall in the Zacks Consensus EPS estimate. BP is currently a Zacks Rank #4 (Sell).
Looking at valuation, BP is presently trading at a Forward P/E ratio of 7.05. Its industry sports an average Forward P/E of 6.74, so one might conclude that BP is trading at a premium comparatively.
Meanwhile, BP's PEG ratio is currently 1.08. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Oil and Gas - Integrated - International industry had an average PEG ratio of 0.85.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 180, positioning it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.