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CrossAmerica Partners (CAPL) Gains But Lags Market: What You Should Know

Zacks Equity Research

CrossAmerica Partners (CAPL) closed at $18.26 in the latest trading session, marking a +0.61% move from the prior day. This change lagged the S&P 500's 0.67% gain on the day. At the same time, the Dow added 0.82%, and the tech-heavy Nasdaq gained 0.78%.

Coming into today, shares of the wholesale fuels distributor had gained 2.83% in the past month. In that same time, the Oils-Energy sector gained 0.93%, while the S&P 500 gained 1.25%.

Wall Street will be looking for positivity from CAPL as it approaches its next earnings report date. In that report, analysts expect CAPL to post earnings of $0.13 per share. This would mark year-over-year growth of 316.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $636.10 million, up 14.7% from the year-ago period.

CAPL's full-year Zacks Consensus Estimates are calling for earnings of $0.72 per share and revenue of $2.53 billion. These results would represent year-over-year changes of +554.55% and +3.46%, respectively.

Investors might also notice recent changes to analyst estimates for CAPL. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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 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 past month, the Zacks Consensus EPS estimate has moved 10.26% higher. CAPL is currently sporting a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that CAPL has a Forward P/E ratio of 25.33 right now. This represents a premium compared to its industry's average Forward P/E of 12.55.

It is also worth noting that CAPL currently has a PEG ratio of 6.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry currently had an average PEG ratio of 2.7 as of yesterday's close.

The Oil and Gas - Refining and Marketing - Master Limited Partnerships 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 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.

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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