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Star Bulk Carriers (SBLK) Registers a Bigger Fall Than the Market: Important Facts to Note

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Star Bulk Carriers (SBLK - Free Report) closed at $17.98 in the latest trading session, marking a -1.53% move from the prior day. This change lagged the S&P 500's 1.17% loss on the day. Elsewhere, the Dow saw a downswing of 0.53%, while the tech-heavy Nasdaq depreciated by 2.04%.

The shipping company's stock has dropped by 0.98% in the past month, exceeding the Transportation sector's loss of 0.99% and lagging the S&P 500's gain of 2.12%.

The upcoming earnings release of Star Bulk Carriers will be of great interest to investors. The company's upcoming EPS is projected at $0.28, signifying a 60.56% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $266.75 million, indicating a 22.52% decrease compared to the same quarter of the previous year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.96 per share and revenue of $1.04 billion. These totals would mark changes of -63.5% and -17.99%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Star Bulk Carriers. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

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. The Zacks Consensus EPS estimate has moved 8.79% lower within the past month. Star Bulk Carriers currently has a Zacks Rank of #4 (Sell).

Valuation is also important, so investors should note that Star Bulk Carriers has a Forward P/E ratio of 19.02 right now. This denotes a premium relative to the industry average Forward P/E of 12.35.

The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 46, putting it in the top 19% 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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