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Sony (SONY) Advances But Underperforms Market: Key Facts

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Sony (SONY - Free Report) closed the most recent trading day at $19.09, moving +0.58% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.77%. Meanwhile, the Dow experienced a rise of 0.47%, and the technology-dominated Nasdaq saw an increase of 0.87%.

Shares of the electronics and media company have appreciated by 1.56% over the course of the past month, underperforming the Consumer Discretionary sector's gain of 2.82% and the S&P 500's gain of 4.87%.

Analysts and investors alike will be keeping a close eye on the performance of Sony in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.05, marking a 77.27% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $20.33 billion, up 7.69% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.60 per share and a revenue of $90.07 billion, signifying shifts of -44.95% and +6.77%, respectively, from the last year.

Any recent changes to analyst estimates for Sony should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 36.35% fall in the Zacks Consensus EPS estimate. Sony presently features a Zacks Rank of #3 (Hold).

Digging into valuation, Sony currently has a Forward P/E ratio of 31.4. This denotes a premium relative to the industry's average Forward P/E of 28.14.

The Audio Video Production industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 103, putting it in the top 41% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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