In the latest trading session, Deutsche Bank (DB) closed at $10.32, marking a +1.88% move from the previous day. This move outpaced the S&P 500's daily gain of 0.99%.
Heading into today, shares of the bank had lost 3.25% over the past month, lagging the Finance sector's loss of 3.22% and the S&P 500's gain of 0.42% in that time.
Investors will be hoping for strength from Deutsche Bank as it approaches its next earnings release. In that report, analysts expect Deutsche Bank to post earnings of $0.48 per share. This would mark year-over-year growth of 37.14%. Our most recent consensus estimate is calling for quarterly revenue of $7.28 billion, up 2.73% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.01 per share and revenue of $29.74 billion. These totals would mark changes of +2.55% and +3.53%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Deutsche Bank. 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.
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.
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 3.53% higher. Deutsche Bank is currently sporting a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Deutsche Bank has a Forward P/E ratio of 5.05 right now. This represents a discount compared to its industry's average Forward P/E of 6.94.
Meanwhile, DB's PEG ratio is currently 0.58. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Banks - Foreign stocks are, on average, holding a PEG ratio of 0.95 based on yesterday's closing prices.
The Banks - Foreign industry is part of the Finance sector. This group has a Zacks Industry Rank of 100, putting it in the top 40% 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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