In the latest trading session, Enterprise Products Partners (EPD) closed at $26.88, marking a -0.11% move from the previous day. This change was narrower than the S&P 500's 1.66% loss on the day. Elsewhere, the Dow lost 1.56%, while the tech-heavy Nasdaq lost 3.03%.
Coming into today, shares of the provider of midstream energy services had lost 5.65% in the past month. In that same time, the Oils-Energy sector lost 8.12%, while the S&P 500 lost 2.43%.
EPD will be looking to display strength as it nears its next earnings release, which is expected to be January 30, 2019. In that report, analysts expect EPD to post earnings of $0.49 per share. This would mark year-over-year growth of 32.43%. Meanwhile, our latest consensus estimate is calling for revenue of $9.53 billion, up 13.13% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.80 per share and revenue of $36.64 billion. These totals would mark changes of +36.36% and +25.3%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for EPD. 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. 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, 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. Over the past month, the Zacks Consensus EPS estimate has moved 8.52% higher. EPD is currently a Zacks Rank #1 (Strong Buy).
Digging into valuation, EPD currently has a Forward P/E ratio of 14.99. This represents a premium compared to its industry's average Forward P/E of 13.58.
Investors should also note that EPD has a PEG ratio of 5 right now. 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 - Production Pipeline - MLB industry currently had an average PEG ratio of 1.86 as of yesterday's close.
The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 74, putting it in the top 29% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.