In the latest trading session, Shell Oil (RDS.A - Free Report) closed at $34.30, marking a +0.32% move from the previous day. This change outpaced the S&P 500's 0.06% gain on the day. Elsewhere, the Dow lost 0.15%, while the tech-heavy Nasdaq added 0.33%.
Investors will be hoping for strength from RDS.A as it approaches its next earnings release. In that report, analysts expect RDS.A to post earnings of -$0.23 per share. This would mark a year-over-year decline of 126.74%.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.30 per share and revenue of $253.17 billion, which would represent changes of -92.57% and -28.1%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for RDS.A. These revisions help to show the ever-changing nature of near-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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 85.42% higher within the past month. RDS.A is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that RDS.A has a Forward P/E ratio of 115.25 right now. This represents a premium compared to its industry's average Forward P/E of 26.65.
We can also see that RDS.A currently has a PEG ratio of 23.05. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 15.69 based on yesterday's closing prices.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 138, putting it in the bottom 46% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.