Incyte (INCY - Free Report) closed at $76.53 in the latest trading session, marking a -0.79% move from the prior day. This move lagged the S&P 500's daily gain of 0.49%. At the same time, the Dow added 0.57%, and the tech-heavy Nasdaq gained 0.67%.
Heading into today, shares of the specialty drugmaker had lost 19.41% over the past month, lagging the Medical sector's gain of 0.98% and the S&P 500's gain of 3.03% in that time.
INCY will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.58, up 45% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $569.75 million, up 21.64% from the year-ago period.
Investors should also note any recent changes to analyst estimates for INCY. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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 has moved 0.18% lower within the past month. INCY is holding a Zacks Rank of #4 (Sell) right now.
In terms of valuation, INCY is currently trading at a Forward P/E ratio of 23.19. This represents a discount compared to its industry's average Forward P/E of 25.33.
Investors should also note that INCY has a PEG ratio of 0.72 right now. 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. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.6 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 59, which puts it in the top 24% 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 INCY in the coming trading sessions, be sure to utilize Zacks.com.