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WestRock (WRK) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, WestRock (WRK - Free Report) closed at $38.94, marking a -1.29% move from the previous day. This move lagged the S&P 500's daily loss of 0.3%. At the same time, the Dow lost 0.46%, and the tech-heavy Nasdaq lost 0.28%.
Coming into today, shares of the paper and packaging company had lost 9.1% in the past month. In that same time, the Basic Materials sector lost 17.94%, while the S&P 500 gained 1.51%.
Wall Street will be looking for positivity from WestRock as it approaches its next earnings report date. This is expected to be August 4, 2022. The company is expected to report EPS of $1.49, up 49% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.51 billion, up 14.44% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.09 per share and revenue of $21.4 billion. These totals would mark changes of +50.15% and +14.18%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for WestRock. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.49% lower within the past month. WestRock is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, WestRock is currently trading at a Forward P/E ratio of 7.75. For comparison, its industry has an average Forward P/E of 7.75, which means WestRock is trading at a no noticeable deviation to the group.
Also, we should mention that WRK has a PEG ratio of 0.35. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Paper and Related Products was holding an average PEG ratio of 0.35 at yesterday's closing price.
The Paper and Related Products industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 22, which puts it in the top 9% 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.
To follow WRK in the coming trading sessions, be sure to utilize Zacks.com.
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WestRock (WRK) Dips More Than Broader Markets: What You Should Know
In the latest trading session, WestRock (WRK - Free Report) closed at $38.94, marking a -1.29% move from the previous day. This move lagged the S&P 500's daily loss of 0.3%. At the same time, the Dow lost 0.46%, and the tech-heavy Nasdaq lost 0.28%.
Coming into today, shares of the paper and packaging company had lost 9.1% in the past month. In that same time, the Basic Materials sector lost 17.94%, while the S&P 500 gained 1.51%.
Wall Street will be looking for positivity from WestRock as it approaches its next earnings report date. This is expected to be August 4, 2022. The company is expected to report EPS of $1.49, up 49% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.51 billion, up 14.44% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.09 per share and revenue of $21.4 billion. These totals would mark changes of +50.15% and +14.18%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for WestRock. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.49% lower within the past month. WestRock is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, WestRock is currently trading at a Forward P/E ratio of 7.75. For comparison, its industry has an average Forward P/E of 7.75, which means WestRock is trading at a no noticeable deviation to the group.
Also, we should mention that WRK has a PEG ratio of 0.35. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Paper and Related Products was holding an average PEG ratio of 0.35 at yesterday's closing price.
The Paper and Related Products industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 22, which puts it in the top 9% 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.
To follow WRK in the coming trading sessions, be sure to utilize Zacks.com.