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GSK (GSK) Stock Sinks As Market Gains: What You Should Know
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GSK (GSK - Free Report) closed the most recent trading day at $36.76, moving -0.27% from the previous trading session. This change lagged the S&P 500's 0.12% gain on the day. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq gained 0.29%.
Prior to today's trading, shares of the drug developer had gained 4.54% over the past month. This has outpaced the Medical sector's loss of 0.98% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from GSK as it approaches its next earnings release. On that day, GSK is projected to report earnings of $1.03 per share, which would represent a year-over-year decline of 5.5%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.63 billion, up 4.42% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.79 per share and revenue of $37.07 billion, which would represent changes of +9.54% and -6.64%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for GSK. These revisions typically reflect the latest short-term business trends, which can change frequently. 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.
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 1.15% lower within the past month. GSK is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that GSK has a Forward P/E ratio of 9.73 right now. For comparison, its industry has an average Forward P/E of 18.14, which means GSK is trading at a discount to the group.
Also, we should mention that GSK has a PEG ratio of 1.86. 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. GSK's industry had an average PEG ratio of 2.16 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 101, which puts it in the top 41% 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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GSK (GSK) Stock Sinks As Market Gains: What You Should Know
GSK (GSK - Free Report) closed the most recent trading day at $36.76, moving -0.27% from the previous trading session. This change lagged the S&P 500's 0.12% gain on the day. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq gained 0.29%.
Prior to today's trading, shares of the drug developer had gained 4.54% over the past month. This has outpaced the Medical sector's loss of 0.98% and the S&P 500's gain of 0.09% in that time.
Investors will be hoping for strength from GSK as it approaches its next earnings release. On that day, GSK is projected to report earnings of $1.03 per share, which would represent a year-over-year decline of 5.5%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.63 billion, up 4.42% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.79 per share and revenue of $37.07 billion, which would represent changes of +9.54% and -6.64%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for GSK. These revisions typically reflect the latest short-term business trends, which can change frequently. 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.
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 1.15% lower within the past month. GSK is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that GSK has a Forward P/E ratio of 9.73 right now. For comparison, its industry has an average Forward P/E of 18.14, which means GSK is trading at a discount to the group.
Also, we should mention that GSK has a PEG ratio of 1.86. 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. GSK's industry had an average PEG ratio of 2.16 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 101, which puts it in the top 41% 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.