Cronos Group (CRON) Outpaces Stock Market Gains: What You Should Know
Cronos Group (CRON) closed at $15.80 in the latest trading session, marking a +0.13% move from the prior day. This move outpaced the S&P 500's daily gain of 0.05%. Meanwhile, the Dow gained 0.26%, and the Nasdaq, a tech-heavy index, added 0.3%.
Prior to today's trading, shares of the cannabis company had lost 27.25% over the past month. This has lagged the Finance sector's gain of 1.19% and the S&P 500's gain of 3.08% in that time.
Investors will be hoping for strength from CRON as it approaches its next earnings release, which is expected to be May 9, 2019. On that day, CRON is projected to report earnings of -$0.03 per share, which would represent a year-over-year decline of 200%. Meanwhile, our latest consensus estimate is calling for revenue of $4.90 million, up 110.3% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.01 per share and revenue of $53.56 million, which would represent changes of +112.5% and +343.41%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for CRON. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 73.33% lower. CRON currently has a Zacks Rank of #5 (Strong Sell).
Digging into valuation, CRON currently has a Forward P/E ratio of 1183.5. For comparison, its industry has an average Forward P/E of 11.75, which means CRON is trading at a premium to the group.
The Financial - Investment Management industry is part of the Finance sector. This group has a Zacks Industry Rank of 22, putting it in the top 9% 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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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.