Shell Oil (RDS.A - Free Report) closed at $63 in the latest trading session, marking a +0.37% move from the prior day. This change outpaced the S&P 500's 0.92% loss on the day. Meanwhile, the Dow lost 0.77%, and the Nasdaq, a tech-heavy index, lost 1.65%.
Coming into today, shares of the oil and gas company had lost 4.05% in the past month. In that same time, the Oils-Energy sector lost 9%, while the S&P 500 lost 2.56%.
Investors will be hoping for strength from RDS.A as it approaches its next earnings release, which is expected to be February 7, 2019. The company is expected to report EPS of $1.70, up 63.46% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for RDS.A. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.42% lower. RDS.A is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, RDS.A is currently trading at a Forward P/E ratio of 11.27. This represents a premium compared to its industry's average Forward P/E of 11.26.
It is also worth noting that RDS.A currently has a PEG ratio of 0.83. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Integrated - International was holding an average PEG ratio of 0.98 at yesterday's closing price.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow RDS.A in the coming trading sessions, be sure to utilize Zacks.com.