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ConocoPhillips (COP) Dips More Than Broader Markets: What You Should Know

In the latest trading session, ConocoPhillips (COP) closed at $67.35, marking a -1.65% move from the previous day. This move lagged the S&P 500's daily loss of 0.66%. Elsewhere, the Dow lost 0.99%, while the tech-heavy Nasdaq lost 1.63%.

Coming into today, shares of the energy company had lost 11.66% in the past month. In that same time, the Oils-Energy sector lost 9.51%, while the S&P 500 lost 8.1%.

Wall Street will be looking for positivity from COP as it approaches its next earnings report date. This is expected to be February 7, 2019. On that day, COP is projected to report earnings of $1.45 per share, which would represent year-over-year growth of 222.22%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $10.30 billion, up 17.87% from the year-ago period.

COP's full-year Zacks Consensus Estimates are calling for earnings of $4.75 per share and revenue of $37.83 billion. These results would represent year-over-year changes of +691.67% and +16.11%, respectively.

Investors might also notice recent changes to analyst estimates for COP. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. The Zacks Consensus EPS estimate has moved 2.34% higher within the past month. COP is holding a Zacks Rank of #2 (Buy) right now.

Valuation is also important, so investors should note that COP has a Forward P/E ratio of 14.43 right now. For comparison, its industry has an average Forward P/E of 14.76, which means COP is trading at a discount to the group.

We can also see that COP currently has a PEG ratio of 1.6. 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 - Integrated - United States was holding an average PEG ratio of 1.57 at yesterday's closing price.

The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 30, putting it in the top 12% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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