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Albertsons Companies, Inc. (ACI) Gains But Lags Market: What You Should Know

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Albertsons Companies, Inc. (ACI - Free Report) closed at $29.90 in the latest trading session, marking a +0.34% move from the prior day. The stock lagged the S&P 500's daily gain of 0.62%. Elsewhere, the Dow gained 0.55%, while the tech-heavy Nasdaq lost 0.03%.

Coming into today, shares of the company had lost 14.44% in the past month. In that same time, the Consumer Staples sector gained 3.17%, while the S&P 500 gained 0.39%.

Investors will be hoping for strength from Albertsons Companies, Inc. as it approaches its next earnings release. The company is expected to report EPS of $0.55, down 16.67% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $15.96 billion, up 3.58% from the year-ago period.

ACI's full-year Zacks Consensus Estimates are calling for earnings of $2.59 per share and revenue of $69.78 billion. These results would represent year-over-year changes of -20.06% and +0.12%, respectively.

Investors might also notice recent changes to analyst estimates for Albertsons Companies, Inc.These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. Albertsons Companies, Inc. is currently a Zacks Rank #3 (Hold).

Looking at its valuation, Albertsons Companies, Inc. is holding a Forward P/E ratio of 11.49. Its industry sports an average Forward P/E of 19.79, so we one might conclude that Albertsons Companies, Inc. is trading at a discount comparatively.

Meanwhile, ACI's PEG ratio is currently 1.44. 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. Consumer Products - Staples stocks are, on average, holding a PEG ratio of 3.48 based on yesterday's closing prices.

The Consumer Products - Staples industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 236, which puts it in the bottom 8% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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