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Albertsons Companies, Inc. (ACI) Outpaces Stock Market Gains: What You Should Know

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Albertsons Companies, Inc. (ACI - Free Report) closed the most recent trading day at $31.99, moving +1.88% from the previous trading session. This move outpaced the S&P 500's daily gain of 1.86%. Elsewhere, the Dow gained 1.79%, while the tech-heavy Nasdaq added 0.3%.

Coming into today, shares of the company had gained 11.51% in the past month. In that same time, the Consumer Staples sector lost 2.59%, while the S&P 500 lost 5.05%.

Albertsons Companies, Inc. will be looking to display strength as it nears its next earnings release. On that day, Albertsons Companies, Inc. is projected to report earnings of $0.63 per share, which would represent year-over-year growth of 5%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $16.47 billion, up 4.39% from the year-ago period.

Investors should also note any 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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Albertsons Companies, Inc. is currently a Zacks Rank #1 (Strong Buy).

Investors should also note Albertsons Companies, Inc.'s current valuation metrics, including its Forward P/E ratio of 11.17. Its industry sports an average Forward P/E of 18.24, so we one might conclude that Albertsons Companies, Inc. is trading at a discount comparatively.

It is also worth noting that ACI currently has a PEG ratio of 1.4. 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. The Consumer Products - Staples was holding an average PEG ratio of 2.14 at yesterday's closing price.

The Consumer Products - Staples industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 239, which puts it in the bottom 6% 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.

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


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