Tenaris S.A. (TS) Dips More Than Broader Markets: What You Should Know
Tenaris S.A. (TS) closed at $27.70 in the latest trading session, marking a -1.95% move from the prior day. This change lagged the S&P 500's daily loss of 0.47%. Meanwhile, the Dow lost 0.72%, and the Nasdaq, a tech-heavy index, lost 5.08%.
Prior to today's trading, shares of the company had gained 7.29% over the past month. This has lagged the Industrial Products sector's gain of 8.3% and outpaced the S&P 500's gain of 5.36% in that time.
Tenaris S.A. will be looking to display strength as it nears its next earnings release. On that day, Tenaris S.A. is projected to report earnings of $1.63 per share, which would represent year-over-year growth of 50.93%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.78 billion, up 35.04% from the year-ago period.
TS's full-year Zacks Consensus Estimates are calling for earnings of $6.13 per share and revenue of $14.96 billion. These results would represent year-over-year changes of +41.57% and +27.16%, respectively.
Any recent changes to analyst estimates for Tenaris S.A. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate has moved 0.57% lower within the past month. Tenaris S.A. is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Tenaris S.A. has a Forward P/E ratio of 4.61 right now. For comparison, its industry has an average Forward P/E of 12.36, which means Tenaris S.A. is trading at a discount to the group.
We can also see that TS currently has a PEG ratio of 2.25. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Steel - Pipe and Tube stocks are, on average, holding a PEG ratio of 1.94 based on yesterday's closing prices.
The Steel - Pipe and Tube industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 115, which puts it in the top 46% 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.
To follow TS in the coming trading sessions, be sure to utilize Zacks.com.
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Tenaris S.A. (TS) : Free Stock Analysis Report
