Phillips 66 (PSX) Stock Declines While Market Improves: Some Information for Investors
Phillips 66 (PSX) closed at $127.67 in the latest trading session, marking a -0.47% move from the prior day. This change lagged the S&P 500's daily gain of 0.88%. Meanwhile, the Dow experienced a rise of 0.54%, and the technology-dominated Nasdaq saw an increase of 1.35%.
Shares of the oil refiner witnessed a loss of 4.33% over the previous month, trailing the performance of the Oils-Energy sector with its loss of 3.78% and the S&P 500's gain of 0.64%.
Market participants will be closely following the financial results of Phillips 66 in its upcoming release. The company plans to announce its earnings on January 31, 2024. The company's upcoming EPS is projected at $2.48, signifying a 38% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $34.3 billion, reflecting a 16.14% fall from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Phillips 66. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.69% increase. As of now, Phillips 66 holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Phillips 66 is holding a Forward P/E ratio of 9.76. This indicates a discount in contrast to its industry's Forward P/E of 10.08.
We can also see that PSX currently has a PEG ratio of 1.63. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Oil and Gas - Refining and Marketing industry held an average PEG ratio of 1.53.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 107, finds itself in the top 43% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PSX in the coming trading sessions, be sure to utilize Zacks.com.
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