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ARKO Corp. (ARKO) Suffers a Larger Drop Than the General Market: Key Insights

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ARKO Corp. (ARKO - Free Report) ended the recent trading session at $6.85, demonstrating a -0.72% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.02% for the day. Meanwhile, the Dow gained 0.38%, and the Nasdaq, a tech-heavy index, added 0.04%.

The the stock of company has fallen by 3.09% in the past month, lagging the Consumer Staples sector's loss of 2.37% and the S&P 500's gain of 3.77%.

The investment community will be closely monitoring the performance of ARKO Corp. in its forthcoming earnings report. On that day, ARKO Corp. is projected to report earnings of $0.16 per share, which would represent a year-over-year decline of 5.88%. Simultaneously, our latest consensus estimate expects the revenue to be $2.43 billion, showing a 7.41% drop compared to the year-ago quarter.

ARKO's full-year Zacks Consensus Estimates are calling for earnings of $0.31 per share and revenue of $9.18 billion. These results would represent year-over-year changes of +29.17% and -2.52%, respectively.

Investors should also take note of any recent adjustments to analyst estimates for ARKO Corp. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, 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. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Right now, ARKO Corp. possesses a Zacks Rank of #3 (Hold).

Digging into valuation, ARKO Corp. currently has a Forward P/E ratio of 22.62. Its industry sports an average Forward P/E of 20.17, so one might conclude that ARKO Corp. is trading at a premium comparatively.

The Consumer Products - Staples industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 103, finds itself in the top 41% echelons of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the 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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