We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Albemarle (ALB) Stock Drops Despite Market Gains: Important Facts to Note
Read MoreHide Full Article
Albemarle (ALB - Free Report) closed the latest trading day at $88.50, indicating a -0.9% change from the previous session's end. This change lagged the S&P 500's daily gain of 0.75%. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 1%.
The specialty chemicals company's shares have seen an increase of 22.58% over the last month, surpassing the Basic Materials sector's gain of 0.53% and the S&P 500's gain of 4.03%.
The investment community will be closely monitoring the performance of Albemarle in its forthcoming earnings report. The company is forecasted to report an EPS of -$0.03, showcasing a 101.09% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.39 billion, down 39.92% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.70 per share and revenue of $5.61 billion, which would represent changes of -96.85% and -41.62%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Albemarle. These revisions help to show the ever-changing nature of near-term business trends. 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 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 29.26% lower. Albemarle is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Albemarle is holding a Forward P/E ratio of 128.49. This valuation marks a premium compared to its industry's average Forward P/E of 16.26.
Meanwhile, ALB's PEG ratio is currently 8.03. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Chemical - Diversified was holding an average PEG ratio of 1.12 at yesterday's closing price.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 213, putting it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the 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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Albemarle (ALB) Stock Drops Despite Market Gains: Important Facts to Note
Albemarle (ALB - Free Report) closed the latest trading day at $88.50, indicating a -0.9% change from the previous session's end. This change lagged the S&P 500's daily gain of 0.75%. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 1%.
The specialty chemicals company's shares have seen an increase of 22.58% over the last month, surpassing the Basic Materials sector's gain of 0.53% and the S&P 500's gain of 4.03%.
The investment community will be closely monitoring the performance of Albemarle in its forthcoming earnings report. The company is forecasted to report an EPS of -$0.03, showcasing a 101.09% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.39 billion, down 39.92% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.70 per share and revenue of $5.61 billion, which would represent changes of -96.85% and -41.62%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Albemarle. These revisions help to show the ever-changing nature of near-term business trends. 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 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 29.26% lower. Albemarle is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Albemarle is holding a Forward P/E ratio of 128.49. This valuation marks a premium compared to its industry's average Forward P/E of 16.26.
Meanwhile, ALB's PEG ratio is currently 8.03. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Chemical - Diversified was holding an average PEG ratio of 1.12 at yesterday's closing price.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 213, putting it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the 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.