Chevron (CVX) closed at $141.02 in the latest trading session, marking a +0.04% move from the prior day. This move outpaced the S&P 500's daily loss of 0.21%. Elsewhere, the Dow lost 0.43%, while the tech-heavy Nasdaq added 0.01%.
Prior to today's trading, shares of the oil company had lost 14.38% over the past month. This has was narrower than the Oils-Energy sector's loss of 15.96% and lagged the S&P 500's loss of 9.7% in that time.
Chevron will be looking to display strength as it nears its next earnings release. In that report, analysts expect Chevron to post earnings of $5.29 per share. This would mark year-over-year growth of 78.72%. Our most recent consensus estimate is calling for quarterly revenue of $58.6 billion, up 31.07% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $18.37 per share and revenue of $238.76 billion. These totals would mark changes of +125.95% and +46.96%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Chevron. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.47% higher. Chevron is currently a Zacks Rank #2 (Buy).
Investors should also note Chevron's current valuation metrics, including its Forward P/E ratio of 7.67. Its industry sports an average Forward P/E of 3.67, so we one might conclude that Chevron is trading at a premium comparatively.
We can also see that CVX currently has a PEG ratio of 0.55. 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. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.33 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 35, putting it in the top 14% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Chevron Corporation (CVX) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research