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Sony (SONY) Rises Higher Than Market: Key Facts

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The most recent trading session ended with Sony (SONY - Free Report) standing at $17.75, reflecting a +0.74% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily gain of 0.27%. Meanwhile, the Dow experienced a rise of 0.65%, and the technology-dominated Nasdaq saw an increase of 0.26%.

The electronics and media company's stock has dropped by 8.38% in the past month, falling short of the Consumer Discretionary sector's gain of 1.51% and the S&P 500's gain of 2%.

Investors will be eagerly watching for the performance of Sony in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.05, reflecting a 77.27% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $20.33 billion, indicating a 7.69% growth compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $0.60 per share and revenue of $90.07 billion, which would represent changes of -44.95% and +6.77%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Sony. 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.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 37.9% downward. Sony presently features a Zacks Rank of #3 (Hold).

In terms of valuation, Sony is currently trading at a Forward P/E ratio of 29.15. This indicates a premium in contrast to its industry's Forward P/E of 28.03.

The Audio Video Production industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 177, this industry ranks in the bottom 30% of all industries, numbering over 250.

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.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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