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Abbott (ABT) Outpaces Stock Market Gains: What You Should Know
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Abbott (ABT - Free Report) closed at $102.63 in the latest trading session, marking a +1.79% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.76%. Elsewhere, the Dow gained 1.05%, while the tech-heavy Nasdaq lost 0.98%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 9.83% in the past month. In that same time, the Medical sector lost 4.24%, while the S&P 500 lost 3.91%.
Abbott will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.98, down 43.35% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.64 billion, down 18.98% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.38 per share and revenue of $39.74 billion, which would represent changes of -17.98% and -8.97%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Abbott. Recent revisions tend to reflect the latest near-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. 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.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Abbott is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Abbott is holding a Forward P/E ratio of 23.01. This represents a discount compared to its industry's average Forward P/E of 24.39.
We can also see that ABT currently has a PEG ratio of 4.52. 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. The Medical - Products industry currently had an average PEG ratio of 2.33 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 110, which puts it in the top 44% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Abbott (ABT) Outpaces Stock Market Gains: What You Should Know
Abbott (ABT - Free Report) closed at $102.63 in the latest trading session, marking a +1.79% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.76%. Elsewhere, the Dow gained 1.05%, while the tech-heavy Nasdaq lost 0.98%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 9.83% in the past month. In that same time, the Medical sector lost 4.24%, while the S&P 500 lost 3.91%.
Abbott will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.98, down 43.35% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.64 billion, down 18.98% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.38 per share and revenue of $39.74 billion, which would represent changes of -17.98% and -8.97%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Abbott. Recent revisions tend to reflect the latest near-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. 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.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Abbott is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Abbott is holding a Forward P/E ratio of 23.01. This represents a discount compared to its industry's average Forward P/E of 24.39.
We can also see that ABT currently has a PEG ratio of 4.52. 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. The Medical - Products industry currently had an average PEG ratio of 2.33 as of yesterday's close.
The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 110, which puts it in the top 44% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.