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Vitamin Shoppe (VSI) Stock Sinks As Market Gains: What You Should Know

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Vitamin Shoppe closed at $5.48 in the latest trading session, marking a -0.18% move from the prior day. This move lagged the S&P 500's daily gain of 1.09%. At the same time, the Dow added 1.75%, and the tech-heavy Nasdaq gained 0.61%.

Coming into today, shares of the nutritional supplement retailer had gained 14.38% in the past month. In that same time, the Retail-Wholesale sector gained 5.15%, while the S&P 500 gained 6.53%.

Investors will be hoping for strength from VSI as it approaches its next earnings release, which is expected to be February 26, 2019. The company is expected to report EPS of -$0.31, down 82.35% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $255.79 million, down 4.83% from the prior-year quarter.

Investors should also note any recent changes to analyst estimates for VSI. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

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 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 10.15% lower within the past month. VSI is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, VSI currently has a Forward P/E ratio of 26.57. For comparison, its industry has an average Forward P/E of 21.58, which means VSI is trading at a premium to the group.

The Food - Natural Foods Products industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 193, putting it in the bottom 25% 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 follow all of these stock-moving metrics, and many more, on Zacks.com.

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