In the latest trading session, Shell (SHEL) closed at $53.17, marking a -1.48% move from the previous day. This change was narrower than the S&P 500's 4.32% loss on the day. Elsewhere, the Dow lost 3.94%, while the tech-heavy Nasdaq lost 0.36%.
Coming into today, shares of the oil and gas company had gained 1.77% in the past month. In that same time, the Oils-Energy sector gained 2.43%, while the S&P 500 lost 3.75%.
Wall Street will be looking for positivity from Shell as it approaches its next earnings report date. The company is expected to report EPS of $2.90, up 173.58% from the prior-year quarter.
Any recent changes to analyst estimates for Shell should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Shell currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Shell has a Forward P/E ratio of 4.73 right now. For comparison, its industry has an average Forward P/E of 4.25, which means Shell is trading at a premium to the group.
It is also worth noting that SHEL currently has a PEG ratio of 0.52. 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 Oil and Gas - Integrated - International was holding an average PEG ratio of 0.39 at yesterday's closing price.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 38, putting it in the top 16% 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Shell PLC Unsponsored ADR (SHEL) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research