Back to top

Image: Bigstock

Sony (SONY) Registers a Bigger Fall Than the Market: Important Facts to Note

Read MoreHide Full Article

Sony (SONY - Free Report) ended the recent trading session at $18.10, demonstrating a -0.66% swing from the preceding day's closing price. This change lagged the S&P 500's 0.18% loss on the day. Meanwhile, the Dow experienced a drop of 0.8%, and the technology-dominated Nasdaq saw an increase of 0.27%.

Shares of the electronics and media company witnessed a loss of 2.14% over the previous month, trailing the performance of the Consumer Discretionary sector with its gain of 8.02% and the S&P 500's gain of 4.46%.

The investment community will be closely monitoring the performance of Sony in its forthcoming earnings report. The company is expected to report EPS of $0.05, down 77.27% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $20.33 billion, indicating a 7.69% upward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $0.60 per share and a revenue of $90.07 billion, representing changes of -44.95% and +6.77%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Sony. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

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 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. Within the past 30 days, our consensus EPS projection has moved 37.9% lower. Sony currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Sony is currently trading at a Forward P/E ratio of 30.15. This indicates a premium in contrast to its industry's Forward P/E of 28.48.

The Audio Video Production industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 100, placing it within the top 40% of over 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Sony Corporation (SONY) - free report >>

Published in