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Chevron (CVX) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research

Chevron (CVX) closed the most recent trading day at $123.88, moving -0.19% from the previous trading session. This change lagged the S&P 500's 0.26% gain on the day. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq gained 0.4%.

Coming into today, shares of the oil company had gained 5.81% in the past month. In that same time, the Oils-Energy sector gained 9.83%, while the S&P 500 gained 3.92%.

Investors will be hoping for strength from CVX as it approaches its next earnings release. In that report, analysts expect CVX to post earnings of $1.87 per share. This would mark a year-over-year decline of 11.37%. Our most recent consensus estimate is calling for quarterly revenue of $40.79 billion, down 7.28% from the year-ago period.

CVX's full-year Zacks Consensus Estimates are calling for earnings of $6.63 per share and revenue of $156.62 billion. These results would represent year-over-year changes of -19.64% and -5.84%, respectively.

Investors should also note any recent changes to analyst estimates for CVX. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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 4.09% lower. CVX is currently a Zacks Rank #3 (Hold).

Investors should also note CVX's current valuation metrics, including its Forward P/E ratio of 18.73. This represents a premium compared to its industry's average Forward P/E of 12.85.

We can also see that CVX currently has a PEG ratio of 3.12. 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 1.82 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 226, putting it in the bottom 12% 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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