SunOpta (STKL) Registers a Bigger Fall Than the Market: Important Facts to Note
In the latest market close, SunOpta (STKL) reached $6.92, with a -1.84% movement compared to the previous day. The stock fell short of the S&P 500, which registered a loss of 0.29% for the day. Meanwhile, the Dow experienced a drop of 0.35%, and the technology-dominated Nasdaq saw a decrease of 0.3%.
Prior to today's trading, shares of the natural and organic food company had gained 17.3% over the past month. This has outpaced the Consumer Staples sector's gain of 3.48% and the S&P 500's gain of 4.42% in that time.
Analysts and investors alike will be keeping a close eye on the performance of SunOpta in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.02, showcasing a 60% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $164.7 million, reflecting a 26.43% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.13 per share and revenue of $670 million, indicating changes of +62.5% and -12.52%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for SunOpta. 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. 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, 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 past month, there's been a 3.85% fall in the Zacks Consensus EPS estimate. SunOpta presently features a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that SunOpta has a Forward P/E ratio of 56.4 right now. This indicates a premium in contrast to its industry's Forward P/E of 17.33.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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
SunOpta, Inc. (STKL) : Free Stock Analysis Report
