In the latest trading session, Bed Bath & Beyond (BBBY - Free Report) closed at $15.27, marking a +1.26% move from the previous day. This change outpaced the S&P 500's 0.8% gain on the day. Meanwhile, the Dow gained 0.82%, and the Nasdaq, a tech-heavy index, added 1.14%.
Prior to today's trading, shares of the home goods retailer had lost 10.66% over the past month. This has lagged the Retail-Wholesale sector's loss of 3.96% and the S&P 500's loss of 3.2% in that time.
Wall Street will be looking for positivity from BBBY as it approaches its next earnings report date. On that day, BBBY is projected to report earnings of $0.08 per share, which would represent a year-over-year decline of 75%. Our most recent consensus estimate is calling for quarterly revenue of $2.58 billion, down 6.32% from the year-ago period.
BBBY's full-year Zacks Consensus Estimates are calling for earnings of $1.98 per share and revenue of $11.50 billion. These results would represent year-over-year changes of -3.41% and -4.43%, respectively.
Any recent changes to analyst estimates for BBBY 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. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. BBBY is currently a Zacks Rank #2 (Buy).
In terms of valuation, BBBY is currently trading at a Forward P/E ratio of 7.63. For comparison, its industry has an average Forward P/E of 11.25, which means BBBY is trading at a discount to the group.
It is also worth noting that BBBY currently has a PEG ratio of 7.63. 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. Retail - Miscellaneous stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.
The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 108, which puts it in the top 43% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.