Icahn Enterprises (IEP) closed at $49.71 in the latest trading session, marking a +1.76% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.21%. Meanwhile, the Dow lost 0.43%, and the Nasdaq, a tech-heavy index, added 0.03%.
Heading into today, shares of the diversified holding company had lost 5.46% over the past month, outpacing the Conglomerates sector's loss of 10.62% and the S&P 500's loss of 9.7% in that time.
Icahn Enterprises will be looking to display strength as it nears its next earnings release. In that report, analysts expect Icahn Enterprises to post earnings of $0.22 per share. This would mark year-over-year growth of 140%. Meanwhile, our latest consensus estimate is calling for revenue of $3.06 billion, up 15.61% from the prior-year quarter.
IEP's full-year Zacks Consensus Estimates are calling for earnings of $1.03 per share and revenue of $13.82 billion. These results would represent year-over-year changes of +144.4% and +35.98%, respectively.
Investors should also note any recent changes to analyst estimates for Icahn Enterprises. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Icahn Enterprises currently has a Zacks Rank of #2 (Buy).
Investors should also note Icahn Enterprises's current valuation metrics, including its Forward P/E ratio of 47.43. For comparison, its industry has an average Forward P/E of 14.27, which means Icahn Enterprises is trading at a premium to the group.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 90, putting it in the top 36% of all 250+ industries.
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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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