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EOG Resources (EOG) Outpaces Stock Market Gains: What You Should Know

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EOG Resources (EOG - Free Report) closed at $134.66 in the latest trading session, marking a +1.32% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.84%. Elsewhere, the Dow gained 0.96%, while the tech-heavy Nasdaq added 0.81%.

Coming into today, shares of the oil and gas company had gained 3.35% in the past month. In that same time, the Oils-Energy sector gained 2.52%, while the S&P 500 gained 0.19%.

Wall Street will be looking for positivity from EOG Resources as it approaches its next earnings report date. In that report, analysts expect EOG Resources to post earnings of $2.79 per share. This would mark a year-over-year decline of 24.8%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.77 billion, down 24.02% from the year-ago period.

EOG's full-year Zacks Consensus Estimates are calling for earnings of $11.08 per share and revenue of $23.2 billion. These results would represent year-over-year changes of -19.48% and -9.75%, respectively.

Any recent changes to analyst estimates for EOG Resources 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.

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, 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. The Zacks Consensus EPS estimate has moved 3.86% higher within the past month. EOG Resources is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note EOG Resources's current valuation metrics, including its Forward P/E ratio of 12. Its industry sports an average Forward P/E of 10.02, so we one might conclude that EOG Resources is trading at a premium comparatively.

Investors should also note that EOG has a PEG ratio of 0.42 right now. 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. EOG's industry had an average PEG ratio of 0.5 as of yesterday's close.

The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 186, putting it in the bottom 27% 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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