Phillips 66 (PSX – Free Report) closed at $113.93 in the latest trading session, marking a +1.73% move from the prior day. The stock’s change was more than the S&P 500’s daily loss of 0.43%. Elsewhere, the Dow saw a downswing of 0.07%, while the tech-heavy Nasdaq depreciated by 0.9%.
Heading into today, shares of the oil refiner had lost 17.91% over the past month, lagging the Oils-Energy sector’s loss of 8.37% and the S&P 500’s loss of 1.98% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Phillips 66 in its upcoming earnings disclosure. On that day, Phillips 66 is projected to report earnings of $0.82 per share, which would represent a year-over-year decline of 73.46%. In the meantime, our current consensus estimate forecasts the revenue to be $32.22 billion, indicating a 16.82% decline compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.39 per share and a revenue of $143.73 billion, representing changes of -53.26% and -4.11%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Phillips 66. 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 company’s business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.44% lower. Phillips 66 is currently a Zacks Rank #4 (Sell).
In terms of valuation, Phillips 66 is presently being traded at a Forward P/E ratio of 15.15. Its industry sports an average Forward P/E of 14.45, so one might conclude that Phillips 66 is trading at a premium comparatively.
Investors should also note that PSX has a PEG ratio of 3.79 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. The Oil and Gas – Refining and Marketing industry had an average PEG ratio of 2.26 as trading concluded yesterday.
The Oil and Gas – Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 207, which puts it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow PSX in the coming trading sessions, be sure to utilize Zacks.com.
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