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Ecopetrol (EC) Outperforms Broader Market: What You Need to Know
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Ecopetrol (EC - Free Report) ended the recent trading session at $16.58, demonstrating a +1.97% change from the preceding day's closing price. This change outpaced the S&P 500's 0.5% gain on the day. Meanwhile, the Dow gained 0.7%, and the Nasdaq, a tech-heavy index, added 0.31%.
Shares of the oil and natural gas exploration company witnessed a gain of 23% over the previous month, beating the performance of the Oils-Energy sector with its loss of 2.9%, and the S&P 500's loss of 0.23%.
The investment community will be closely monitoring the performance of Ecopetrol in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.6, reflecting a 66.67% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $7.7 billion, indicating a 2.66% upward movement from the same quarter last year.
EC's full-year Zacks Consensus Estimates are calling for earnings of $2.44 per share and revenue of $34.84 billion. These results would represent year-over-year changes of 0% and +45.53%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Ecopetrol. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the 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, 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, the Zacks Consensus EPS estimate has shifted 1.95% upward. Ecopetrol is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, Ecopetrol is currently exchanging hands at a Forward P/E ratio of 6.65. This represents a discount compared to its industry average Forward P/E of 7.95.
It is also worth noting that EC currently has a PEG ratio of 0.76. 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 the market closed yesterday, the Oil and Gas - Integrated - International industry was having an average PEG ratio of 0.57.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 45, positioning 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Ecopetrol (EC) Outperforms Broader Market: What You Need to Know
Ecopetrol (EC - Free Report) ended the recent trading session at $16.58, demonstrating a +1.97% change from the preceding day's closing price. This change outpaced the S&P 500's 0.5% gain on the day. Meanwhile, the Dow gained 0.7%, and the Nasdaq, a tech-heavy index, added 0.31%.
Shares of the oil and natural gas exploration company witnessed a gain of 23% over the previous month, beating the performance of the Oils-Energy sector with its loss of 2.9%, and the S&P 500's loss of 0.23%.
The investment community will be closely monitoring the performance of Ecopetrol in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.6, reflecting a 66.67% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $7.7 billion, indicating a 2.66% upward movement from the same quarter last year.
EC's full-year Zacks Consensus Estimates are calling for earnings of $2.44 per share and revenue of $34.84 billion. These results would represent year-over-year changes of 0% and +45.53%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Ecopetrol. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the 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, 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, the Zacks Consensus EPS estimate has shifted 1.95% upward. Ecopetrol is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, Ecopetrol is currently exchanging hands at a Forward P/E ratio of 6.65. This represents a discount compared to its industry average Forward P/E of 7.95.
It is also worth noting that EC currently has a PEG ratio of 0.76. 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 the market closed yesterday, the Oil and Gas - Integrated - International industry was having an average PEG ratio of 0.57.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 45, positioning 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.
You can find more information on all of these metrics, and much more, on Zacks.com.