Markets

Yeti (YETI) Outpaces Stock Market Gains: What You Should Know

In the latest trading session, Yeti (YETI) closed at $28.29, marking a +1% move from the previous day. This move outpaced the S&P 500's daily gain of 0.3%. Elsewhere, the Dow gained 0.15%, while the tech-heavy Nasdaq added 0.42%.

Heading into today, shares of the maker of outdoor and recreational products had gained 2.3% over the past month, outpacing the Consumer Discretionary sector's gain of 1.45% and the S&P 500's gain of 2.2% in that time.

Investors will be hoping for strength from YETI as it approaches its next earnings release.

YETI's full-year Zacks Consensus Estimates are calling for earnings of $1.07 per share and revenue of $879.60 million. These results would represent year-over-year changes of +17.58% and +12.94%, respectively.

Investors might also notice recent changes to analyst estimates for YETI. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. YETI is currently a Zacks Rank #1 (Strong Buy).

Investors should also note YETI's current valuation metrics, including its Forward P/E ratio of 26.24. This valuation marks a premium compared to its industry's average Forward P/E of 16.94.

Investors should also note that YETI has a PEG ratio of 1.54 right now. 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 Leisure and Recreation Products was holding an average PEG ratio of 1.06 at yesterday's closing price.

The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 18, putting it in the top 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.


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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.

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