HEXO (HEXO) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, HEXO (HEXO) closed at $0.16, marking a -0.25% move from the previous day. This change lagged the S&P 500's 0.75% gain on the day. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, lost 0.01%.
Prior to today's trading, shares of the cannabis producer had lost 9.22% over the past month. This has lagged the Medical sector's gain of 5.42% and the S&P 500's gain of 3.49% in that time.
Investors will be hoping for strength from HEXO as it approaches its next earnings release. In that report, analysts expect HEXO to post earnings of -$0.02 per share. This would mark year-over-year growth of 77.78%. Meanwhile, our latest consensus estimate is calling for revenue of $32.06 million, down 19.34% from the prior-year quarter.
HEXO's full-year Zacks Consensus Estimates are calling for earnings of -$0.05 per share and revenue of $131.43 million. These results would represent year-over-year changes of +88.37% and -12.47%, respectively.
It is also important to note the recent changes to analyst estimates for HEXO. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the past month, the Zacks Consensus EPS estimate has moved 5.88% higher. HEXO is currently sporting a Zacks Rank of #1 (Strong Buy).
The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 149, putting it in the bottom 41% 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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HEXO Corp. (HEXO) : Free Stock Analysis Report
