Back to top

Image: Bigstock

Suncor Energy (SU) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

In the latest trading session, Suncor Energy (SU - Free Report) closed at $19.36, marking a -1.07% move from the previous day. This change lagged the S&P 500's 0.91% loss on the day.

Prior to today's trading, shares of the energy company had gained 11.51% over the past month. This has outpaced the Oils-Energy sector's gain of 3.93% and the S&P 500's gain of 0.01% in that time.

Investors will be hoping for strength from SU as it approaches its next earnings release. In that report, analysts expect SU to post earnings of $0.55 per share. This would mark year-over-year growth of 266.67%. Meanwhile, our latest consensus estimate is calling for revenue of $8.95 billion, up 84.74% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.89 per share and revenue of $32.15 billion. These totals would mark changes of +271.82% and +71.47%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for SU. 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 5.5% lower. SU is currently a Zacks Rank #3 (Hold).

Looking at its valuation, SU is holding a Forward P/E ratio of 10.35. This represents a discount compared to its industry's average Forward P/E of 10.59.

Also, we should mention that SU has a PEG ratio of 3.45. 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. SU's industry had an average PEG ratio of 3.45 as of yesterday's close.

The Oil and Gas - Integrated - Canadian industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 31, putting it in the top 13% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Suncor Energy Inc. (SU) - free report >>

Published in