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Why Star Bulk Carriers (SBLK) Dipped More Than Broader Market Today

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The latest trading session saw Star Bulk Carriers (SBLK - Free Report) ending at $22.80, denoting a -1.68% adjustment from its last day's close. The stock's performance was behind the S&P 500's daily loss of 0.51%. Meanwhile, the Dow gained 0.2%, and the Nasdaq, a tech-heavy index, lost 0.93%.

Coming into today, shares of the shipping company had lost 5.46% in the past month. In that same time, the Transportation sector lost 1.66%, while the S&P 500 lost 0.26%.

Market participants will be closely following the financial results of Star Bulk Carriers in its upcoming release. The company plans to announce its earnings on August 7, 2024. The company is forecasted to report an EPS of $0.81, showcasing a 72.34% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $326.05 million, up 36.6% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.74 per share and revenue of $1.32 billion, indicating changes of +103.26% and +38.67%, respectively, compared to the previous year.

Any recent changes to analyst estimates for Star Bulk Carriers should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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. Over the past month, there's been a 0.4% fall in the Zacks Consensus EPS estimate. Star Bulk Carriers is currently sporting a Zacks Rank of #4 (Sell).

In terms of valuation, Star Bulk Carriers is presently being traded at a Forward P/E ratio of 6.21. This represents a discount compared to its industry's average Forward P/E of 7.94.

The Transportation - Shipping industry is part of the Transportation sector. With its current Zacks Industry Rank of 93, this industry ranks in the top 37% of all industries, numbering over 250.

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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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