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Phillips 66 (PSX) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, Phillips 66 (PSX - Free Report) closed at $102.84, marking a -1.52% move from the previous day. This change lagged the S&P 500's daily gain of 0.36%. Meanwhile, the Dow gained 0.01%, and the Nasdaq, a tech-heavy index, added 1.91%.

Heading into today, shares of the oil refiner had gained 5.16% over the past month, outpacing the Oils-Energy sector's loss of 2.56% and the S&P 500's gain of 1.24% in that time.

Investors will be hoping for strength from Phillips 66 as it approaches its next earnings release, which is expected to be May 3, 2023. In that report, analysts expect Phillips 66 to post earnings of $3.71 per share. This would mark year-over-year growth of 181.06%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $35.08 billion, down 4.47% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $15.88 per share and revenue of $144.79 billion, which would represent changes of -15.49% and -17.59%, respectively, from the prior year.

Any recent changes to analyst estimates for Phillips 66 should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-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. 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 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 4.15% higher within the past month. Phillips 66 is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that Phillips 66 has a Forward P/E ratio of 6.58 right now. This represents a no noticeable deviation compared to its industry's average Forward P/E of 6.58.

Meanwhile, PSX's PEG ratio is currently 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 Oil and Gas - Refining and Marketing was holding an average PEG ratio of 0.71 at yesterday's closing price.

The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% 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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