Mosaic (MOS) Outpaces Stock Market Gains: What You Should Know
Mosaic (MOS) closed at $39.18 in the latest trading session, marking a +1.19% move from the prior day. This move outpaced the S&P 500's daily gain of 0.62%. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Prior to today's trading, shares of the fertilizer maker had gained 6.52% over the past month. This has outpaced the Basic Materials sector's loss of 0.06% and the S&P 500's gain of 0.39% in that time.
Wall Street will be looking for positivity from Mosaic as it approaches its next earnings report date. The company is expected to report EPS of $1.98, up 247.37% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.84 billion, up 56.13% from the prior-year quarter.
MOS's full-year Zacks Consensus Estimates are calling for earnings of $5.06 per share and revenue of $12.35 billion. These results would represent year-over-year changes of +495.29% and +42.21%, respectively.
Any recent changes to analyst estimates for Mosaic should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 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. The Zacks Consensus EPS estimate has moved 0.71% lower within the past month. Mosaic is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Mosaic is currently trading at a Forward P/E ratio of 7.65. Its industry sports an average Forward P/E of 18.52, so we one might conclude that Mosaic is trading at a discount comparatively.
It is also worth noting that MOS currently has a PEG ratio of 1.09. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Fertilizers was holding an average PEG ratio of 1.32 at yesterday's closing price.
The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 6, which puts it in the top 3% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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