Dow Inc. (DOW) ended the recent trading session at $27.47, demonstrating a -0.83% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily loss of 2.24%. Elsewhere, the Dow saw a downswing of 1.73%, while the tech-heavy Nasdaq depreciated by 3.07%.
Shares of the materials science have depreciated by 26.35% over the course of the past month, underperforming the Basic Materials sector's loss of 4.64% and the S&P 500's loss of 4.17%.
Investors will be eagerly watching for the performance of Dow Inc. in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on April 24, 2025. The company's upcoming EPS is projected at $0.03, signifying a 94.64% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $10.27 billion, showing a 4.59% drop compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.13 per share and revenue of $42.19 billion, indicating changes of -33.92% and -1.8%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Dow Inc. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 35.8% lower within the past month. Dow Inc. is currently sporting a Zacks Rank of #5 (Strong Sell).
From a valuation perspective, Dow Inc. is currently exchanging hands at a Forward P/E ratio of 24.6. This represents a premium compared to its industry's average Forward P/E of 12.5.
Also, we should mention that DOW has a PEG ratio of 1.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Chemical - Diversified industry stood at 0.97 at the close of the market yesterday.
The Chemical - Diversified industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 221, this industry ranks in the bottom 11% of all industries, numbering over 250.
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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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This article originally published on Zacks Investment Research (zacks.com).
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