ConocoPhillips (COP) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, ConocoPhillips (COP) closed at $76.52, marking a +1.06% move from the previous day. This move outpaced the S&P 500's daily gain of 0.48%.
Coming into today, shares of the energy company had gained 16.46% in the past month. In that same time, the Oils-Energy sector gained 13.33%, while the S&P 500 gained 3.46%.
Wall Street will be looking for positivity from COP as it approaches its next earnings report date. This is expected to be November 2, 2021. The company is expected to report EPS of $1.48, up 577.42% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.29 billion, up 157.84% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.29 per share and revenue of $42.7 billion. These totals would mark changes of +645.36% and +121.77%, respectively, from last year.
Any recent changes to analyst estimates for COP should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 10.9% higher. COP is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, COP currently has a Forward P/E ratio of 14.31. Its industry sports an average Forward P/E of 16.2, so we one might conclude that COP is trading at a discount comparatively.
We can also see that COP currently has a PEG ratio of 1.28. 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. COP's industry had an average PEG ratio of 1.28 as of yesterday's close.
The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 38, which puts it in the top 15% 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.
To follow COP in the coming trading sessions, be sure to utilize Zacks.com.
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