Yahoo Finance Phillips 66 (PSX) Gains But Lags Market: What You Should Know
Phillips 66 (PSX) closed at $95.05 in the latest trading session, marking a +1.49% move from the prior day. The stock lagged the S&P 500's daily gain of 1.76%. Elsewhere, the Dow gained 1.17%, while the tech-heavy Nasdaq added 3.03%.
Prior to today's trading, shares of the oil refiner had lost 12.19% over the past month. This has was narrower than the Oils-Energy sector's loss of 12.2% and lagged the S&P 500's loss of 5.94% in that time.
Phillips 66 will be looking to display strength as it nears its next earnings release. On that day, Phillips 66 is projected to report earnings of $3.73 per share, which would represent year-over-year growth of 182.58%. Our most recent consensus estimate is calling for quarterly revenue of $35.08 billion, down 4.47% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $15.68 per share and revenue of $144.79 billion. These totals would mark changes of -16.55% and -17.59%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Phillips 66. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 2.82% higher. Phillips 66 currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Phillips 66 currently has a Forward P/E ratio of 5.97. Its industry sports an average Forward P/E of 6.1, so we one might conclude that Phillips 66 is trading at a discount comparatively.
Meanwhile, PSX's PEG ratio is currently 0.32. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Refining and Marketing industry currently had an average PEG ratio of 0.66 as of yesterday's close.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 19, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Phillips 66 (PSX) : Free Stock Analysis Report
