ViacomCBS (VIAC) Outpaces Stock Market Gains: What You Should Know
ViacomCBS (VIAC) closed the most recent trading day at $40.49, moving +1.81% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.33%.
Coming into today, shares of the company had lost 55.89% in the past month. In that same time, the Consumer Discretionary sector lost 6.95%, while the S&P 500 gained 4.77%.
VIAC will be looking to display strength as it nears its next earnings release, which is expected to be May 6, 2021. On that day, VIAC is projected to report earnings of $1.17 per share, which would represent year-over-year growth of 3.54%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.29 billion, up 9.24% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.07 per share and revenue of $27.68 billion. These totals would mark changes of -3.1% and +6.71%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for VIAC. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
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 has moved 0.58% lower. VIAC is currently a Zacks Rank #3 (Hold).
Looking at its valuation, VIAC is holding a Forward P/E ratio of 10.29. This represents a discount compared to its industry's average Forward P/E of 21.28.
Also, we should mention that VIAC has a PEG ratio of 0.74. 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. The Film and Television Production and Distribution industry currently had an average PEG ratio of 1.08 as of yesterday's close.
The Film and Television Production and Distribution industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 109, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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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