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Ecopetrol (EC) Exceeds Market Returns: Some Facts to Consider
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In the latest trading session, Ecopetrol (EC - Free Report) closed at $14.32, marking a +1.2% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 1.05% for the day. Elsewhere, the Dow gained 0.69%, while the tech-heavy Nasdaq added 1.64%.
Shares of the oil and natural gas exploration company witnessed a loss of 2.88% over the previous month, trailing the performance of the Oils-Energy sector with its loss of 2.76%, and the S&P 500's gain of 8.59%.
Market participants will be closely following the financial results of Ecopetrol in its upcoming release. The company is expected to report EPS of $0.29, down 19.44% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $7.34 billion, reflecting a 2.09% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $1.88 per share and a revenue of $31.83 billion, demonstrating changes of 0% and +32.95%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Ecopetrol. 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.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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 42.53% higher within the past month. Ecopetrol is currently a Zacks Rank #1 (Strong Buy).
In the context of valuation, Ecopetrol is at present trading with a Forward P/E ratio of 7.54. This denotes a discount relative to the industry average Forward P/E of 9.76.
We can additionally observe that EC currently boasts a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Oil and Gas - Integrated - International industry held an average PEG ratio of 0.7.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 2, which puts it in the top 1% 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Ecopetrol (EC) Exceeds Market Returns: Some Facts to Consider
In the latest trading session, Ecopetrol (EC - Free Report) closed at $14.32, marking a +1.2% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 1.05% for the day. Elsewhere, the Dow gained 0.69%, while the tech-heavy Nasdaq added 1.64%.
Shares of the oil and natural gas exploration company witnessed a loss of 2.88% over the previous month, trailing the performance of the Oils-Energy sector with its loss of 2.76%, and the S&P 500's gain of 8.59%.
Market participants will be closely following the financial results of Ecopetrol in its upcoming release. The company is expected to report EPS of $0.29, down 19.44% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $7.34 billion, reflecting a 2.09% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $1.88 per share and a revenue of $31.83 billion, demonstrating changes of 0% and +32.95%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Ecopetrol. 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.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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 42.53% higher within the past month. Ecopetrol is currently a Zacks Rank #1 (Strong Buy).
In the context of valuation, Ecopetrol is at present trading with a Forward P/E ratio of 7.54. This denotes a discount relative to the industry average Forward P/E of 9.76.
We can additionally observe that EC currently boasts a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Oil and Gas - Integrated - International industry held an average PEG ratio of 0.7.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 2, which puts it in the top 1% 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.