Golar LNG (GLNG) Gains But Lags Market: What You Should Know
Golar LNG (GLNG) closed the most recent trading day at $25.07, moving +1.01% from the previous trading session. This move lagged the S&P 500's daily gain of 3.1%. At the same time, the Dow added 2.18%, and the tech-heavy Nasdaq gained 0.21%.
Prior to today's trading, shares of the operator of carriers for natural gas shipping had lost 9.12% over the past month. This has lagged the Transportation sector's gain of 8.06% and the S&P 500's gain of 1.66% in that time.
Golar LNG will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.24, up 2500% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $66.18 million, down 37.21% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.63 per share and revenue of $279.66 million. These totals would mark changes of -61.82% and -36.63%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Golar LNG. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate has moved 3.85% higher within the past month. Golar LNG is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Golar LNG has a Forward P/E ratio of 39.4 right now. This valuation marks a premium compared to its industry's average Forward P/E of 3.69.
The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 178, putting it in the bottom 30% 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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