GSK (GSK) closed the most recent trading day at $34.36, moving -0.75% from the previous trading session. This change lagged the S&P 500's daily loss of 0.38%. Elsewhere, the Dow gained 0.27%, while the tech-heavy Nasdaq lost 4.19%.
Coming into today, shares of the drug developer had lost 5.02% in the past month. In that same time, the Medical sector lost 2.31%, while the S&P 500 gained 3.78%.
Investors will be hoping for strength from GSK as it approaches its next earnings release, which is expected to be July 26, 2023. On that day, GSK is projected to report earnings of $0.83 per share, which would represent a year-over-year decline of 4.6%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.41 billion, down 3.41% from the year-ago period.
GSK's full-year Zacks Consensus Estimates are calling for earnings of $3.66 per share and revenue of $35.88 billion. These results would represent year-over-year changes of +5.78% and -9.66%, respectively.
Investors should also note any recent changes to analyst estimates for GSK. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.99% higher. GSK is currently a Zacks Rank #3 (Hold).
In terms of valuation, GSK is currently trading at a Forward P/E ratio of 9.47. This valuation marks a discount compared to its industry's average Forward P/E of 19.67.
It is also worth noting that GSK currently has a PEG ratio of 1.72. 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 Medical - Biomedical and Genetics industry currently had an average PEG ratio of 1.84 as of yesterday's close.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 98, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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