Yahoo Finance Mondelez (MDLZ) Gains But Lags Market: What You Should Know
In the latest trading session, Mondelez (MDLZ) closed at $66.29, marking a +1.14% move from the previous day. This move lagged the S&P 500's daily gain of 1.68%. At the same time, the Dow added 1.06%, and the tech-heavy Nasdaq lost 1.7%.
Coming into today, shares of the maker of Oreo cookies, Cadbury chocolate and Trident gum had lost 1.1% in the past month. In that same time, the Consumer Staples sector lost 2.96%, while the S&P 500 lost 6.68%.
Wall Street will be looking for positivity from Mondelez as it approaches its next earnings report date. On that day, Mondelez is projected to report earnings of $0.80 per share, which would represent a year-over-year decline of 4.76%. Our most recent consensus estimate is calling for quarterly revenue of $8.45 billion, up 8.84% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.17 per share and revenue of $34.23 billion, which would represent changes of +7.46% and +8.67%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Mondelez. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Within the past 30 days, our consensus EPS projection has moved 0.16% lower. Mondelez is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Mondelez has a Forward P/E ratio of 20.69 right now. Its industry sports an average Forward P/E of 17.96, so we one might conclude that Mondelez is trading at a premium comparatively.
Meanwhile, MDLZ's PEG ratio is currently 2.9. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Food - Miscellaneous stocks are, on average, holding a PEG ratio of 2.6 based on yesterday's closing prices.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 103, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MDLZ in the coming trading sessions, be sure to utilize Zacks.com.
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Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report
