In the latest trading session, Chemed (CHE) closed at $456.01, marking a +1.3% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.57%. Elsewhere, the Dow lost 0.8%, while the tech-heavy Nasdaq added 0.03%.
Wall Street will be looking for positivity from CHE as it approaches its next earnings report date. The company is expected to report EPS of $3.79, up 12.8% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $509.33 million, up 7.55% from the year-ago period.
CHE's full-year Zacks Consensus Estimates are calling for earnings of $16.43 per share and revenue of $2.11 billion. These results would represent year-over-year changes of +17.78% and +8.78%, respectively.
Any recent changes to analyst estimates for CHE should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 remained stagnant within the past month. CHE is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, CHE currently has a Forward P/E ratio of 27.4. Its industry sports an average Forward P/E of 33.22, so we one might conclude that CHE is trading at a discount comparatively.
It is also worth noting that CHE currently has a PEG ratio of 2.79. 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. CHE's industry had an average PEG ratio of 2.69 as of yesterday's close.
The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This group has a Zacks Industry Rank of 172, putting it in the bottom 33% 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.
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