In the latest trading session, BP (BP) closed at $34.58, marking a +1.29% move from the previous day. This move outpaced the S&P 500's daily gain of 0.46%. Meanwhile, the Dow experienced a rise of 0.17%, and the technology-dominated Nasdaq saw an increase of 0.57%.
Coming into today, shares of the oil and gas company had lost 4.93% in the past month. In that same time, the Oils-Energy sector gained 0.15%, while the S&P 500 gained 4.22%.
The upcoming earnings release of BP will be of great interest to investors. On that day, BP is projected to report earnings of $0.57 per share, which would represent year-over-year growth of 29.55%. Meanwhile, the latest consensus estimate predicts the revenue to be $60.43 billion, indicating a 25.66% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.02 per share and a revenue of $205.23 billion, signifying shifts of -7.36% and +5.45%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for BP. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 shifted 0.89% upward. BP presently features a Zacks Rank of #3 (Hold).
With respect to valuation, BP is currently being traded at a Forward P/E ratio of 11.31. This denotes a premium relative to the industry average Forward P/E of 10.99.
We can also see that BP currently has a PEG ratio of 1.62. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Oil and Gas - Integrated - International industry had an average PEG ratio of 1.76 as trading concluded yesterday.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 190, finds itself in the bottom 24% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
Free: See Our Top Stock And 4 Runners UpBP p.l.c. (BP) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (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.
