GSK (GSK) Stock Moves -0.09%: What You Should Know
The most recent trading session ended with GSK (GSK) standing at $42.79, reflecting a -0.09% shift from the previouse trading day's closing. This move was narrower than the S&P 500's daily loss of 0.28%. On the other hand, the Dow registered a loss of 0.08%, and the technology-centric Nasdaq decreased by 0.42%.
Shares of the drug developer have appreciated by 1.16% over the course of the past month, outperforming the Medical sector's loss of 1.21% and lagging the S&P 500's gain of 2.67%.
The investment community will be closely monitoring the performance of GSK in its forthcoming earnings report. The company is expected to report EPS of $0.95, up 5.56% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.99 billion, up 6.47% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $4.03 per share and a revenue of $39.85 billion, demonstrating changes of +4.4% and +5.56%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for GSK. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.51% lower. GSK presently features a Zacks Rank of #3 (Hold).
Looking at valuation, GSK is presently trading at a Forward P/E ratio of 10.63. For comparison, its industry has an average Forward P/E of 23.81, which means GSK is trading at a discount to the group.
Also, we should mention that GSK has a PEG ratio of 1.96. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Medical - Biomedical and Genetics industry held an average PEG ratio of 1.81.
The Medical - Biomedical and Genetics industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 81, placing it within the top 33% of over 250 industries.
The Zacks Industry Rank is ordered 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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