The most recent trading session ended with BRF (BRFS) standing at $3.47, reflecting a +0.58% shift from the previouse trading day's closing. This change outpaced the S&P 500's 0.22% loss on the day. On the other hand, the Dow registered a loss of 0.03%, and the technology-centric Nasdaq decreased by 0.33%.
Heading into today, shares of the chicken, beef and pork producer had gained 2.37% over the past month, lagging the Consumer Staples sector's gain of 2.67% and outpacing the S&P 500's loss of 7.48% in that time.
Investors will be eagerly watching for the performance of BRF in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.09, marking a 50% rise compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.44 per share and revenue of $10.97 billion. These totals would mark changes of +22.22% and +0.25%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for BRF. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, there's been a 1.16% rise in the Zacks Consensus EPS estimate. At present, BRF boasts a Zacks Rank of #2 (Buy).
From a valuation perspective, BRF is currently exchanging hands at a Forward P/E ratio of 7.93. This signifies a discount in comparison to the average Forward P/E of 16.48 for its industry.
Also, we should mention that BRFS has a PEG ratio of 0.19. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Food - Miscellaneous industry stood at 1.91 at the close of the market yesterday.
The Food - Miscellaneous industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 154, this industry ranks in the bottom 39% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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This article originally published on Zacks Investment Research (zacks.com).
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