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Sony (SNE) Dips More Than Broader Markets: What You Should Know

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Sony (SNE - Free Report) closed at $45.95 in the latest trading session, marking a -0.97% move from the prior day. This change lagged the S&P 500's 0.21% loss on the day. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.18%.

Coming into today, shares of the electronics and media company had gained 7.76% in the past month. In that same time, the Consumer Discretionary sector gained 2.41%, while the S&P 500 gained 1.81%.

Wall Street will be looking for positivity from SNE as it approaches its next earnings report date. In that report, analysts expect SNE to post earnings of $0.19 per share. This would mark year-over-year growth of 258.33%.

Investors might also notice recent changes to analyst estimates for SNE. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

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.

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. Within the past 30 days, our consensus EPS projection remained stagnant. SNE is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note SNE's current valuation metrics, including its Forward P/E ratio of 8.4. For comparison, its industry has an average Forward P/E of 15.07, which means SNE is trading at a discount to the group.

Meanwhile, SNE's PEG ratio is currently 1.03. 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. Audio Video Production stocks are, on average, holding a PEG ratio of 1.53 based on yesterday's closing prices.

The Audio Video Production industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 100, which puts it in the top 40% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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