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GSK (GSK) Gains As Market Dips: What You Should Know
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GSK (GSK - Free Report) closed the most recent trading day at $30.11, moving +0.37% from the previous trading session. This move outpaced the S&P 500's daily loss of 2.8%. Meanwhile, the Dow lost 2.11%, and the Nasdaq, a tech-heavy index, lost 0.1%.
Heading into today, shares of the drug developer had lost 4.79% over the past month, lagging the Medical sector's loss of 1.18% and the S&P 500's loss of 4.08% in that time.
Investors will be hoping for strength from GSK as it approaches its next earnings release. The company is expected to report EPS of $1.04, down 17.46% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $8.78 billion, down 29.86% from the prior-year quarter.
GSK's full-year Zacks Consensus Estimates are calling for earnings of $3.23 per share and revenue of $34.49 billion. These results would represent year-over-year changes of -16.97% and -26.45%, respectively.
Investors should also note any recent changes to analyst estimates for GSK. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.2% lower. GSK is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that GSK has a Forward P/E ratio of 9.29 right now. For comparison, its industry has an average Forward P/E of 20.16, which means GSK is trading at a discount to the group.
Meanwhile, GSK's PEG ratio is currently 1.14. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. GSK's industry had an average PEG ratio of 1.43 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% 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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GSK (GSK) Gains As Market Dips: What You Should Know
GSK (GSK - Free Report) closed the most recent trading day at $30.11, moving +0.37% from the previous trading session. This move outpaced the S&P 500's daily loss of 2.8%. Meanwhile, the Dow lost 2.11%, and the Nasdaq, a tech-heavy index, lost 0.1%.
Heading into today, shares of the drug developer had lost 4.79% over the past month, lagging the Medical sector's loss of 1.18% and the S&P 500's loss of 4.08% in that time.
Investors will be hoping for strength from GSK as it approaches its next earnings release. The company is expected to report EPS of $1.04, down 17.46% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $8.78 billion, down 29.86% from the prior-year quarter.
GSK's full-year Zacks Consensus Estimates are calling for earnings of $3.23 per share and revenue of $34.49 billion. These results would represent year-over-year changes of -16.97% and -26.45%, respectively.
Investors should also note any recent changes to analyst estimates for GSK. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.2% lower. GSK is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that GSK has a Forward P/E ratio of 9.29 right now. For comparison, its industry has an average Forward P/E of 20.16, which means GSK is trading at a discount to the group.
Meanwhile, GSK's PEG ratio is currently 1.14. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. GSK's industry had an average PEG ratio of 1.43 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% 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.