Anthem (ANTM - Free Report) closed at $292.92 in the latest trading session, marking a -1.12% move from the prior day. This move was narrower than the S&P 500's daily loss of 3.24%. Elsewhere, the Dow lost 3.1%, while the tech-heavy Nasdaq lost 3.8%.
Prior to today's trading, shares of the health insurer had gained 10.54% over the past month. This has outpaced the Medical sector's gain of 4.97% and the S&P 500's gain of 2.73% in that time.
Investors will be hoping for strength from ANTM as it approaches its next earnings release, which is expected to be January 30, 2019. In that report, analysts expect ANTM to post earnings of $2.21 per share. This would mark year-over-year growth of 71.32%. Meanwhile, our latest consensus estimate is calling for revenue of $23.33 billion, up 3.94% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $15.66 per share and revenue of $91.64 billion, which would represent changes of +30.07% and +2.9%, respectively, from the prior year.
Any recent changes to analyst estimates for ANTM should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% higher. ANTM is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, ANTM is holding a Forward P/E ratio of 18.92. For comparison, its industry has an average Forward P/E of 21.6, which means ANTM is trading at a discount to the group.
Also, we should mention that ANTM has a PEG ratio of 1.52. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - HMOs industry currently had an average PEG ratio of 1.46 as of yesterday's close.
The Medical - HMOs industry is part of the Medical sector. This group has a Zacks Industry Rank of 104, putting it in the top 40% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.