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Albemarle (ALB) Stock Sinks As Market Gains: What You Should Know
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In the latest market close, Albemarle (ALB - Free Report) reached $123.93, with a -0.66% movement compared to the previous day. This move lagged the S&P 500's daily gain of 1.12%. Elsewhere, the Dow gained 0.61%, while the tech-heavy Nasdaq added 1.54%.
The specialty chemicals company's stock has climbed by 3.88% in the past month, falling short of the Basic Materials sector's gain of 5.41% and outpacing the S&P 500's gain of 2.06%.
Market participants will be closely following the financial results of Albemarle in its upcoming release. The company is forecasted to report an EPS of $0.56, showcasing a 94.57% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.45 billion, down 43.86% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.42 per share and revenue of $5.72 billion, which would represent changes of -84.63% and -40.53%, respectively, from the prior year.
Any recent changes to analyst estimates for Albemarle should also be noted by investors. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
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 last 30 days, the Zacks Consensus EPS estimate has moved 46.99% lower. Albemarle is holding a Zacks Rank of #5 (Strong Sell) right now.
Looking at valuation, Albemarle is presently trading at a Forward P/E ratio of 36.49. Its industry sports an average Forward P/E of 18.83, so one might conclude that Albemarle is trading at a premium comparatively.
One should further note that ALB currently holds a PEG ratio of 2.28. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Chemical - Diversified industry had an average PEG ratio of 1.21 as trading concluded yesterday.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 217, putting it in the bottom 14% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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Albemarle (ALB) Stock Sinks As Market Gains: What You Should Know
In the latest market close, Albemarle (ALB - Free Report) reached $123.93, with a -0.66% movement compared to the previous day. This move lagged the S&P 500's daily gain of 1.12%. Elsewhere, the Dow gained 0.61%, while the tech-heavy Nasdaq added 1.54%.
The specialty chemicals company's stock has climbed by 3.88% in the past month, falling short of the Basic Materials sector's gain of 5.41% and outpacing the S&P 500's gain of 2.06%.
Market participants will be closely following the financial results of Albemarle in its upcoming release. The company is forecasted to report an EPS of $0.56, showcasing a 94.57% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.45 billion, down 43.86% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.42 per share and revenue of $5.72 billion, which would represent changes of -84.63% and -40.53%, respectively, from the prior year.
Any recent changes to analyst estimates for Albemarle should also be noted by investors. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
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 last 30 days, the Zacks Consensus EPS estimate has moved 46.99% lower. Albemarle is holding a Zacks Rank of #5 (Strong Sell) right now.
Looking at valuation, Albemarle is presently trading at a Forward P/E ratio of 36.49. Its industry sports an average Forward P/E of 18.83, so one might conclude that Albemarle is trading at a premium comparatively.
One should further note that ALB currently holds a PEG ratio of 2.28. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Chemical - Diversified industry had an average PEG ratio of 1.21 as trading concluded yesterday.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 217, putting it in the bottom 14% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.