The Zacks Medical sector has slightly outperformed the S&P 500 in 2022, down 18%.
A widely-popular company in the realm, AstraZeneca PLC AZN, is slated to unveil quarterly earnings on November 10th, before market open.
AstraZeneca is one of the largest biopharmaceutical companies in the world. Its business can be broken down into separate lines based on therapeutic classes, including cardiovascular, respiratory, immunology, oncology, rare diseases, and others.
As it stands, the company carries a Zacks Rank #3 (Hold) paired with an overall VGM Score of a B.
How does everything else stack up heading into the release? Let’s find out.
Share Performance & Valuation
AZN shares have been a bright spot in an otherwise dim market in 2022, up nearly 8% and visibly outperforming the general market.
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Over the last three months, shares have continued on their market-beating trajectory, declining roughly 7% vs. the S&P 500’s decline of more than 9%.
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Shares trade at an 18.5X forward earnings multiple, nicely beneath the 22.3X five-year median and reflecting a 27% discount relative to its Zacks Medical sector.
The company sports a Style Score of a B.
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Quarterly Estimates
Analysts have been bullish regarding their earnings outlook, with four positive earnings estimate revisions hitting the tape over the last several months. The Zacks Consensus EPS Estimate of $0.77 indicates an improvement of more than 40% Y/Y.
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AstraZeneca’s top-line also appears to be in good health; the Zacks Consensus Sales Estimate of $11 billion suggests an uptick of more than 11% from year-ago quarterly sales of $9.9 billion.
Quarterly Performance
AZN has been on a strong earnings streak, exceeding revenue and earnings estimates in each of its last three quarters.
Just in its latest print, the company penciled in a sizable 10.3% EPS beat paired with a 3.2% sales surprise. Below is a chart illustrating the company’s revenue on a quarterly basis.
Image Source: Zacks Investment Research
Putting Everything Together
AZN shares have outperformed the general market across several timeframes in 2022, indicating that buyers have stepped up.
The company’s forward earnings multiple is well below its five-year median and Zacks Medical sector average.
Analysts have been bullish over the last several months, with estimates indicating Y/Y upticks in both revenue and earnings.
The company has consistently exceeded quarterly estimates, exceeding both revenue and EPS expectations in each of its last three releases.
Heading into the print, AstraZeneca PLC AZN carries a Zacks Rank #3 (Hold) with an Earnings ESP Score of 2.1%.
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AstraZeneca PLC (AZN): Free Stock Analysis Report
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