Chevron (CVX) Outpaces Stock Market Gains: What You Should Know
Chevron (CVX) closed the most recent trading day at $157.65, moving +1.02% from the previous trading session. This change outpaced the S&P 500's 0.17% gain on the day. Meanwhile, the Dow gained 0.6%, and the Nasdaq, a tech-heavy index, added 0.67%.
Coming into today, shares of the oil company had lost 3.91% in the past month. In that same time, the Oils-Energy sector lost 8.08%, while the S&P 500 gained 0.25%.
Wall Street will be looking for positivity from Chevron as it approaches its next earnings report date. The company is expected to report EPS of $3.35, down 0.3% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $49.45 billion, down 9.06% from the year-ago period.
CVX's full-year Zacks Consensus Estimates are calling for earnings of $14.73 per share and revenue of $216.01 billion. These results would represent year-over-year changes of -21.77% and -12.28%, respectively.
Investors should also note any recent changes to analyst estimates for Chevron. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. The Zacks Consensus EPS estimate has moved 4.25% lower within the past month. Chevron currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Chevron is holding a Forward P/E ratio of 10.6. For comparison, its industry has an average Forward P/E of 5.41, which means Chevron is trading at a premium to the group.
It is also worth noting that CVX currently has a PEG ratio of 0.74. 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. The Oil and Gas - Integrated - International was holding an average PEG ratio of 0.67 at yesterday's closing price.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 68, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
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Chevron Corporation (CVX) : Free Stock Analysis Report
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