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Yeti (YETI) Gains As Market Dips: What You Should Know

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Yeti (YETI - Free Report) closed at $33.33 in the latest trading session, marking a +0.94% move from the prior day. This move outpaced the S&P 500's daily loss of 0.04%. At the same time, the Dow lost 0.51%, and the tech-heavy Nasdaq gained 0.21%.

Heading into today, shares of the maker of outdoor and recreational products had gained 1.41% over the past month, lagging the Consumer Discretionary sector's gain of 7.02% and the S&P 500's gain of 4.65% in that time.

Investors will be hoping for strength from YETI as it approaches its next earnings release, which is expected to be May 2, 2019.

YETI's full-year Zacks Consensus Estimates are calling for earnings of $1.04 per share and revenue of $877 million. These results would represent year-over-year changes of +14.29% and +12.6%, respectively.

Investors might also notice recent changes to analyst estimates for YETI. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. YETI currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that YETI has a Forward P/E ratio of 31.88 right now. Its industry sports an average Forward P/E of 16.42, so we one might conclude that YETI is trading at a premium comparatively.

Also, we should mention that YETI has a PEG ratio of 1.99. 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. YETI's industry had an average PEG ratio of 1.02 as of yesterday's close.

The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 38% 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.

To follow YETI in the coming trading sessions, be sure to utilize Zacks.com.


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