Back to top

Image: Bigstock

Vector Group (VGR) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Vector Group (VGR) closed at $13.43 in the latest trading session, marking a -0.78% move from the prior day. This move lagged the S&P 500's daily gain of 0.65%. At the same time, the Dow added 0.94%, and the tech-heavy Nasdaq gained 0.9%.

Heading into today, shares of the discount cigarette maker had gained 2.42% over the past month, outpacing the Consumer Staples sector's gain of 1.27% and lagging the S&P 500's gain of 2.97% in that time.

Wall Street will be looking for positivity from VGR as it approaches its next earnings report date. On that day, VGR is projected to report earnings of $0.06 per share, which would represent a year-over-year decline of 71.43%. Our most recent consensus estimate is calling for quarterly revenue of $451.60 million, up 1.27% from the year-ago period.

Any recent changes to analyst estimates for VGR should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

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.

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. VGR is currently a Zacks Rank #3 (Hold).

Digging into valuation, VGR currently has a Forward P/E ratio of 25.06. This represents a premium compared to its industry's average Forward P/E of 10.9.

The Tobacco industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 112, which puts it in the top 44% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

You can find more information on all of these metrics, and much more, on Zacks.com.

Published in