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Sunoco LP (SUN) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Sunoco LP (SUN - Free Report) closed at $39.11, marking a +0.75% move from the previous day. This change outpaced the S&P 500's 0.62% gain on the day. At the same time, the Dow added 0.55%, and the tech-heavy Nasdaq lost 0.03%.

Coming into today, shares of the master limited partnership had lost 5.41% in the past month. In that same time, the Oils-Energy sector lost 0.1%, while the S&P 500 gained 0.39%.

Investors will be hoping for strength from Sunoco LP as it approaches its next earnings release. The company is expected to report EPS of $1.04, up 35.06% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.01 billion, up 56.87% from the year-ago period.

SUN's full-year Zacks Consensus Estimates are calling for earnings of $6.41 per share and revenue of $15.77 billion. These results would represent year-over-year changes of +743.42% and +47.2%, respectively.

Investors should also note any recent changes to analyst estimates for Sunoco LP. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Within the past 30 days, our consensus EPS projection remained stagnant. Sunoco LP is currently sporting a Zacks Rank of #1 (Strong Buy).

Investors should also note Sunoco LP's current valuation metrics, including its Forward P/E ratio of 6.06. This valuation marks a discount compared to its industry's average Forward P/E of 13.18.

The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 28, which puts it in the top 12% 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.


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