In the latest trading session, Simply Good Foods (SMPL - Free Report) closed at $28.72, marking a -0.31% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.53%. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, lost 1.13%.
Coming into today, shares of the nutritional foods company had lost 4.03% in the past month. In that same time, the Consumer Staples sector gained 1.09%, while the S&P 500 gained 3.59%.
Wall Street will be looking for positivity from SMPL as it approaches its next earnings report date. On that day, SMPL is projected to report earnings of $0.16 per share, which would represent year-over-year growth of 6.67%. Meanwhile, our latest consensus estimate is calling for revenue of $130.57 million, up 20.61% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for SMPL. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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. Within the past 30 days, our consensus EPS projection remained stagnant. SMPL currently has a Zacks Rank of #3 (Hold).
In terms of valuation, SMPL is currently trading at a Forward P/E ratio of 39.36. For comparison, its industry has an average Forward P/E of 26.89, which means SMPL is trading at a premium to the group.
The Food - Confectionery industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 39, putting it in the top 16% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.