Hess (HES) closed the most recent trading day at $136.39, moving -0.46% from the previous trading session. This change lagged the S&P 500’s 0.12% gain on the day. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Coming into today, shares of the oil and gas producer had gained 3.39% in the past month. In that same time, the Oils-Energy sector gained 2.63%, while the S&P 500 gained 3.98%.
Investors will be hoping for strength from Hess as it approaches its next earnings release. On that day, Hess is projected to report earnings of $1.12 per share, which would represent a year-over-year decline of 47.91%. Our most recent consensus estimate is calling for quarterly revenue of $2.68 billion, down 10.27% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.44 per share and revenue of $11.12 billion, which would represent changes of -23.49% and -3.85%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Hess. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 9.38% lower within the past month. Hess is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Hess is holding a Forward P/E ratio of 25.17. For comparison, its industry has an average Forward P/E of 13.52, which means Hess is trading at a premium to the group.
The Oil and Gas – Integrated – United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 107, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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