In the latest trading session, Sanofi (SNY) closed at $39.59, marking a -1.22% move from the previous day. This change lagged the S&P 500's daily loss of 0.41%. Meanwhile, the Dow lost 0.55%, and the Nasdaq, a tech-heavy index, added 0.1%.
Heading into today, shares of the drugmaker had lost 18.34% over the past month, lagging the Medical sector's loss of 6.22% and the S&P 500's loss of 5.13% in that time.
Investors will be hoping for strength from Sanofi as it approaches its next earnings release. On that day, Sanofi is projected to report earnings of $1.35 per share, which would represent year-over-year growth of 4.65%. Meanwhile, our latest consensus estimate is calling for revenue of $12.45 billion, up 1.2% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.07 per share and revenue of $45.39 billion. These totals would mark changes of +4.9% and +1.72%, respectively, from last year.
Any recent changes to analyst estimates for Sanofi should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Within the past 30 days, our consensus EPS projection has moved 0.65% lower. Sanofi currently has a Zacks Rank of #3 (Hold).
Investors should also note Sanofi's current valuation metrics, including its Forward P/E ratio of 9.84. This represents a discount compared to its industry's average Forward P/E of 12.47.
Also, we should mention that SNY has a PEG ratio of 1.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.81 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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