Civitas Resources (CIVI) Laps the Stock Market: Here's Why
Civitas Resources (CIVI) closed at $74.94 in the latest trading session, marking a +1.59% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.86% for the day. Meanwhile, the Dow gained 1.22%, and the Nasdaq, a tech-heavy index, added 0.51%.
Prior to today's trading, shares of the oil and gas company had gained 13.35% over the past month. This has outpaced the Oils-Energy sector's gain of 5.4% and the S&P 500's gain of 2.84% in that time.
The investment community will be closely monitoring the performance of Civitas Resources in its forthcoming earnings report. The company is expected to report EPS of $2.49, up 10.67% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $1.36 billion, indicating a 107.98% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $11.54 per share and revenue of $5.6 billion, indicating changes of +27.94% and +61.01%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Civitas Resources. 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.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 10.07% decrease. Civitas Resources presently features a Zacks Rank of #3 (Hold).
Looking at valuation, Civitas Resources is presently trading at a Forward P/E ratio of 6.39. This expresses a discount compared to the average Forward P/E of 10.93 of its industry.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 205, positioning it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Civitas Resources, Inc. (CIVI) : Free Stock Analysis Report
