Cosan (CZZ) closed the most recent trading day at $14.18, moving -0.49% from the previous trading session. This move was narrower than the S&P 500's daily loss of 0.65%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, lost 0.46%.
Coming into today, shares of the bioethanol company had gained 10.29% in the past month. In that same time, the Basic Materials sector gained 3.62%, while the S&P 500 gained 4.11%.
Investors will be hoping for strength from CZZ as it approaches its next earnings release.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.87 per share and revenue of $19.36 billion. These totals would mark changes of -13% and +317.06%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for CZZ. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 remained stagnant. CZZ is currently a Zacks Rank #3 (Hold).
In terms of valuation, CZZ is currently trading at a Forward P/E ratio of 16.38. Its industry sports an average Forward P/E of 26.84, so we one might conclude that CZZ is trading at a discount comparatively.
The Agriculture - Products industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 109, which puts it in the top 43% 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 CZZ in the coming trading sessions, be sure to utilize Zacks.com.
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