The latest trading session saw Teekay Tankers (TNK) ending at $47.31, denoting a +0.32% adjustment from its last day's close. The stock's change was less than the S&P 500's daily gain of 1.83%. Elsewhere, the Dow gained 1.65%, while the tech-heavy Nasdaq added 2.45%.
Shares of the oil and gas shipping company have appreciated by 24.63% over the course of the past month, outperforming the Transportation sector's loss of 2.55% and the S&P 500's loss of 3.31%.
Investors will be eagerly watching for the performance of Teekay Tankers in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.81, marking a 36.93% fall compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $158.26 million, down 18.62% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Teekay Tankers. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 13.94% decrease. Teekay Tankers is currently a Zacks Rank #5 (Strong Sell).
Valuation is also important, so investors should note that Teekay Tankers has a Forward P/E ratio of 6.18 right now. For comparison, its industry has an average Forward P/E of 8.03, which means Teekay Tankers is trading at a discount to the group.
It's also important to note that TNK currently trades at a PEG ratio of 2.06. 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 Transportation - Shipping industry currently had an average PEG ratio of 0.53 as of yesterday's close.
The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 241, putting it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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