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

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Suncor Energy (SU - Free Report) closed at $39.37 in the latest trading session, marking a -0.51% move from the prior day. This change lagged the S&P 500's daily loss of 0.38%. At the same time, the Dow lost 0.5%, and the tech-heavy Nasdaq lost 0.5%.

Prior to today's trading, shares of the energy company had gained 5.49% over the past month. This has outpaced the Oils-Energy sector's gain of 3.39% and the S&P 500's loss of 6.69% in that time.

Investors will be hoping for strength from Suncor Energy as it approaches its next earnings release. On that day, Suncor Energy is projected to report earnings of $1.61 per share, which would represent year-over-year growth of 312.82%. Meanwhile, our latest consensus estimate is calling for revenue of $9.25 billion, up 24.95% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $5.28 per share and revenue of $40.68 billion, which would represent changes of +158.82% and +30.45%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Suncor Energy. Recent revisions tend to reflect the latest near-term business trends. 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. Over the past month, the Zacks Consensus EPS estimate has moved 4.97% higher. Suncor Energy is currently a Zacks Rank #1 (Strong Buy).

Investors should also note Suncor Energy's current valuation metrics, including its Forward P/E ratio of 7.49. This valuation marks a discount compared to its industry's average Forward P/E of 7.8.

It is also worth noting that SU currently has a PEG ratio of 0.55. 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 Oil and Gas - Integrated - Canadian industry currently had an average PEG ratio of 0.4 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 4, putting it in the top 2% 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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