Here's Why VALE S.A. (VALE) Fell More Than Broader Market
The most recent trading session ended with VALE S.A. (VALE) standing at $13.89, reflecting a -0.71% shift from the previouse trading day's closing. This change lagged the S&P 500's daily loss of 0.06%. Meanwhile, the Dow experienced a rise of 0.35%, and the technology-dominated Nasdaq saw a decrease of 0.76%.
The the stock of company has fallen by 11.79% in the past month, lagging the Basic Materials sector's loss of 6.09% and the S&P 500's gain of 3.36%.
The investment community will be closely monitoring the performance of VALE S.A. in its forthcoming earnings report. The company is scheduled to release its earnings on February 22, 2024. The company is forecasted to report an EPS of $0.92, showcasing a 12.2% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.5 billion, up 4.65% from the year-ago period.
Investors should also pay attention to any latest changes in analyst estimates for VALE S.A. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 3.93% downward. At present, VALE S.A. boasts a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that VALE S.A. has a Forward P/E ratio of 5.09 right now. This represents a discount compared to its industry's average Forward P/E of 9.03.
The Mining - Iron industry is part of the Basic Materials sector. At present, this industry carries a Zacks Industry Rank of 3, placing it within the top 2% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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VALE S.A. (VALE) : Free Stock Analysis Report
