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SunOpta (STKL) Beats Stock Market Upswing: What Investors Need to Know

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SunOpta (STKL - Free Report) closed the most recent trading day at $6.51, moving +1.4% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 1.11% for the day. Meanwhile, the Dow experienced a rise of 0.8%, and the technology-dominated Nasdaq saw an increase of 1.24%.

The natural and organic food company's stock has dropped by 6.96% in the past month, falling short of the Consumer Staples sector's loss of 3.94% and the S&P 500's gain of 0.48%.

The investment community will be closely monitoring the performance of SunOpta in its forthcoming earnings report. On that day, SunOpta is projected to report earnings of $0.02 per share, which would represent a year-over-year decline of 60%. Simultaneously, our latest consensus estimate expects the revenue to be $164.7 million, showing a 26.43% drop compared to the year-ago quarter.

STKL's full-year Zacks Consensus Estimates are calling for earnings of $0.14 per share and revenue of $670 million. These results would represent year-over-year changes of +75% and -12.52%, respectively.

It's also important for investors to be aware of any recent modifications to analyst estimates for SunOpta. These latest adjustments often mirror the shifting dynamics of short-term business patterns. 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. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 12% higher within the past month. SunOpta presently features a Zacks Rank of #3 (Hold).

In terms of valuation, SunOpta is presently being traded at a Forward P/E ratio of 45.86. This indicates a premium in contrast to its industry's Forward P/E of 16.81.

The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 36% echelons of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions.

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