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Biogen Inc. (BIIB) Stock Declines While Market Improves: Some Information for Investors

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In the latest trading session, Biogen Inc. (BIIB - Free Report) closed at $260.58, marking a -0.52% move from the previous day. This change lagged the S&P 500's daily gain of 0.04%. Meanwhile, the Dow gained 0.14%, and the Nasdaq, a tech-heavy index, lost 0.03%.

Shares of the company have appreciated by 12.87% over the course of the past month, outperforming the Medical sector's gain of 5.57% and the S&P 500's gain of 5.28%.

Analysts and investors alike will be keeping a close eye on the performance of Biogen Inc. in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $3.16, reflecting a 21.98% decrease from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $2.46 billion, indicating a 3.47% downward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $14.96 per share and a revenue of $9.92 billion, representing changes of -15.34% and -2.46%, respectively, from the prior year.

Any recent changes to analyst estimates for Biogen Inc. should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.03% increase. Currently, Biogen Inc. is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Biogen Inc. is currently trading at a Forward P/E ratio of 17.51. This denotes a discount relative to the industry's average Forward P/E of 17.99.

Investors should also note that BIIB has a PEG ratio of 2.55 right now. 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 as of yesterday's close.

The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 74, putting it in the top 30% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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