Back to top

Image: Bigstock

VALE S.A. (VALE) Stock Falls Amid Market Uptick: What Investors Need to Know

Read MoreHide Full Article

In the latest close session, VALE S.A. (VALE - Free Report) was down 1.63% at $10.23. This change lagged the S&P 500's daily gain of 0.07%. Elsewhere, the Dow lost 0.7%, while the tech-heavy Nasdaq added 0.18%.

Prior to today's trading, shares of the company had gained 14.79% outpaced the Basic Materials sector's gain of 5.21% and the S&P 500's gain of 5.71%.

The investment community will be paying close attention to the earnings performance of VALE S.A. in its upcoming release. The company is slated to reveal its earnings on July 31, 2025. The company's upcoming EPS is projected at $0.33, signifying a 23.26% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $8.66 billion, down 12.73% from the year-ago period.

VALE's full-year Zacks Consensus Estimates are calling for earnings of $1.7 per share and revenue of $37.64 billion. These results would represent year-over-year changes of -6.59% and -1.09%, respectively.

It is also important to note the recent changes to analyst estimates for VALE S.A. 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 business outlook.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 4.27% fall in the Zacks Consensus EPS estimate. Right now, VALE S.A. possesses a Zacks Rank of #3 (Hold).

Looking at valuation, VALE S.A. is presently trading at a Forward P/E ratio of 6.11. Its industry sports an average Forward P/E of 6.11, so one might conclude that VALE S.A. is trading at no noticeable deviation comparatively.

Meanwhile, VALE's PEG ratio is currently 0.35. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. VALE's industry had an average PEG ratio of 0.35 as of yesterday's close.

The Mining - Iron industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 96, this industry ranks in the top 39% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


VALE S.A. (VALE) - free report >>

Published in