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United Airlines (UAL) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, United Airlines (UAL - Free Report) closed at $48.42, marking a -0.68% move from the previous day. This move lagged the S&P 500's daily gain of 0.45%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.84%.
Shares of the airline have appreciated by 20.61% over the course of the past month, outperforming the Transportation sector's gain of 2.83% and the S&P 500's gain of 2.54%.
The investment community will be paying close attention to the earnings performance of United Airlines in its upcoming release. It is anticipated that the company will report an EPS of $3.05, marking a 16.44% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $14.97 billion, up 3.39% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.63 per share and a revenue of $56.77 billion, signifying shifts of -4.18% and +5.69%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for United Airlines. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the past month, the Zacks Consensus EPS estimate has remained steady. United Airlines is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, United Airlines is currently trading at a Forward P/E ratio of 5.06. Its industry sports an average Forward P/E of 9.75, so one might conclude that United Airlines is trading at a discount comparatively.
It is also worth noting that UAL currently has a PEG ratio of 0.79. 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. As of the close of trade yesterday, the Transportation - Airline industry held an average PEG ratio of 0.96.
The Transportation - Airline industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 204, placing it within the bottom 20% of over 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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United Airlines (UAL) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, United Airlines (UAL - Free Report) closed at $48.42, marking a -0.68% move from the previous day. This move lagged the S&P 500's daily gain of 0.45%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 0.84%.
Shares of the airline have appreciated by 20.61% over the course of the past month, outperforming the Transportation sector's gain of 2.83% and the S&P 500's gain of 2.54%.
The investment community will be paying close attention to the earnings performance of United Airlines in its upcoming release. It is anticipated that the company will report an EPS of $3.05, marking a 16.44% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $14.97 billion, up 3.39% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.63 per share and a revenue of $56.77 billion, signifying shifts of -4.18% and +5.69%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for United Airlines. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Over the past month, the Zacks Consensus EPS estimate has remained steady. United Airlines is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, United Airlines is currently trading at a Forward P/E ratio of 5.06. Its industry sports an average Forward P/E of 9.75, so one might conclude that United Airlines is trading at a discount comparatively.
It is also worth noting that UAL currently has a PEG ratio of 0.79. 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. As of the close of trade yesterday, the Transportation - Airline industry held an average PEG ratio of 0.96.
The Transportation - Airline industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 204, placing it within the bottom 20% of over 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.