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GSK (GSK - Free Report) closed at $37.56 in the latest trading session, marking a +0.59% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.43%. On the other hand, the Dow registered a gain of 0.19%, and the technology-centric Nasdaq increased by 0.71%.
Shares of the drug developer have appreciated by 1.3% over the course of the past month, outperforming the Medical sector's loss of 3.35% and the S&P 500's loss of 2.1%.
The investment community will be paying close attention to the earnings performance of GSK in its upcoming release. In that report, analysts expect GSK to post earnings of $1.05 per share. This would mark a year-over-year decline of 3.67%. Meanwhile, the latest consensus estimate predicts the revenue to be $9.63 billion, indicating a 4.42% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $3.77 per share and a revenue of $37.08 billion, demonstrating changes of +8.96% and -6.63%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for GSK. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.51% lower. As of now, GSK holds a Zacks Rank of #3 (Hold).
From a valuation perspective, GSK is currently exchanging hands at a Forward P/E ratio of 9.91. This represents a discount compared to its industry's average Forward P/E of 17.31.
We can additionally observe that GSK currently boasts a PEG ratio of 1.98. 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 Medical - Biomedical and Genetics industry currently had an average PEG ratio of 2.13 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 76, which puts it in the top 31% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Why GSK (GSK) Outpaced the Stock Market Today
GSK (GSK - Free Report) closed at $37.56 in the latest trading session, marking a +0.59% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.43%. On the other hand, the Dow registered a gain of 0.19%, and the technology-centric Nasdaq increased by 0.71%.
Shares of the drug developer have appreciated by 1.3% over the course of the past month, outperforming the Medical sector's loss of 3.35% and the S&P 500's loss of 2.1%.
The investment community will be paying close attention to the earnings performance of GSK in its upcoming release. In that report, analysts expect GSK to post earnings of $1.05 per share. This would mark a year-over-year decline of 3.67%. Meanwhile, the latest consensus estimate predicts the revenue to be $9.63 billion, indicating a 4.42% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $3.77 per share and a revenue of $37.08 billion, demonstrating changes of +8.96% and -6.63%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for GSK. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.51% lower. As of now, GSK holds a Zacks Rank of #3 (Hold).
From a valuation perspective, GSK is currently exchanging hands at a Forward P/E ratio of 9.91. This represents a discount compared to its industry's average Forward P/E of 17.31.
We can additionally observe that GSK currently boasts a PEG ratio of 1.98. 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 Medical - Biomedical and Genetics industry currently had an average PEG ratio of 2.13 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 76, which puts it in the top 31% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.