Phillips 66 (PSX) Outpaces Stock Market Gains: What You Should Know
The latest trading session saw Phillips 66 (PSX) ending at $133.80, denoting a +1.9% adjustment from its last day's close. The stock's performance was ahead of the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.68%, and the tech-heavy Nasdaq gained 0.66%.
Coming into today, shares of the oil refiner had gained 11.17% in the past month. In that same time, the Oils-Energy sector lost 0.43%, while the S&P 500 gained 5.16%.
The upcoming earnings release of Phillips 66 will be of great interest to investors. The company's earnings report is expected on January 31, 2024. The company's earnings per share (EPS) are projected to be $2.67, reflecting a 33.25% decrease from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $34.76 billion, reflecting a 15.02% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $15.39 per share and revenue of $145.41 billion, indicating changes of -18.09% and -17.24%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Phillips 66. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, 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, there's been a 0.38% fall in the Zacks Consensus EPS estimate. Phillips 66 is currently a Zacks Rank #3 (Hold).
Investors should also note Phillips 66's current valuation metrics, including its Forward P/E ratio of 8.53. For comparison, its industry has an average Forward P/E of 6.92, which means Phillips 66 is trading at a premium to the group.
We can additionally observe that PSX currently boasts a PEG ratio of 0.45. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Oil and Gas - Refining and Marketing industry stood at 1.02 at the close of the market yesterday.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Phillips 66 (PSX) : Free Stock Analysis Report
