In the latest trading session, Par Petroleum (PARR) closed at $21.75, marking a -1.41% move from the previous day. This change lagged the S&P 500's 0.75% gain on the day. At the same time, the Dow added 0.4%, and the tech-heavy Nasdaq gained 10.36%.
Prior to today's trading, shares of the independent oil and gas company had gained 5.35% over the past month. This has outpaced the Oils-Energy sector's loss of 6.78% and the S&P 500's loss of 5.98% in that time.
Investors will be hoping for strength from Par Petroleum as it approaches its next earnings release. On that day, Par Petroleum is projected to report earnings of $1.53 per share, which would represent year-over-year growth of 795.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.9 billion, up 46.74% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Par Petroleum. Recent revisions tend to reflect the latest near-term business trends. 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. 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. The Zacks Consensus EPS estimate has moved 10.78% higher within the past month. Par Petroleum is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that Par Petroleum has a Forward P/E ratio of 4.92 right now. For comparison, its industry has an average Forward P/E of 8.09, which means Par Petroleum is trading at a discount to the group.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 80, which puts it in the top 32% 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.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.