This story originally appeared on Zacks
Corning (GLW) closed the most recent trading day at $36.78, moving -0.41% from the previous trading session. This change was narrower than the S&P 500’s 0.75% loss on the day. Elsewhere, the Dow lost 0.3%, while the tech-heavy Nasdaq lost 0.23%.
Heading into today, shares of the specialty glass maker had lost 4.57% over the past month, lagging the Computer and Technology sector’s loss of 2.28% and the S&P 500’s loss of 0.13% in that time.
Wall Street will be looking for positivity from Corning as it approaches its next earnings report date. The company is expected to report EPS of $0.53, up 1.92% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.64 billion, up 9.41% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.06 per share and revenue of $14.04 billion, which would represent changes of +48.2% and +22.56%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Corning. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 remained stagnant within the past month. Corning is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, Corning currently has a Forward P/E ratio of 17.9. This valuation marks a discount compared to its industry’s average Forward P/E of 18.82.
Meanwhile, GLW’s PEG ratio is currently 0.89. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. The Communication – Components industry currently had an average PEG ratio of 1.87 as of yesterday’s close.
The Communication – Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 206, putting it in the bottom 19% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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