Anthem (ANTM) closed the most recent trading day at $241.79, moving +1.49% from the previous trading session. This move outpaced the S&P 500's daily gain of 1.42%. Meanwhile, the Dow gained 1.42%, and the Nasdaq, a tech-heavy index, added 1.4%.
Prior to today's trading, shares of the health insurer had lost 5.17% over the past month. This has lagged the Medical sector's loss of 2.31% and the S&P 500's gain of 0.38% in that time.
Investors will be hoping for strength from ANTM as it approaches its next earnings release, which is expected to be October 23, 2019. On that day, ANTM is projected to report earnings of $4.84 per share, which would represent year-over-year growth of 27.03%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $25.41 billion, up 10.58% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $19.36 per share and revenue of $100.75 billion. These totals would mark changes of +21.84% and +10.3%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for ANTM. Recent revisions tend to reflect the latest 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.05% higher. ANTM is currently a Zacks Rank #2 (Buy).
In terms of valuation, ANTM is currently trading at a Forward P/E ratio of 12.3. This valuation marks a discount compared to its industry's average Forward P/E of 14.44.
Meanwhile, ANTM's PEG ratio is currently 0.88. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Medical - HMOs stocks are, on average, holding a PEG ratio of 1.01 based on yesterday's closing prices.
The Medical - HMOs industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% 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.
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Anthem, Inc. (ANTM) : Free Stock Analysis Report
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