In the latest close session, BellRing Brands (BRBR) was down 2.43% at $34.99. This change lagged the S&P 500's daily gain of 0.01%. Elsewhere, the Dow gained 0.51%, while the tech-heavy Nasdaq lost 0.28%.
The nutritional supplements company's shares have seen a decrease of 15.98% over the last month, not keeping up with the Consumer Staples sector's loss of 3.78% and the S&P 500's gain of 4.83%.
The upcoming earnings release of BellRing Brands will be of great interest to investors. It is anticipated that the company will report an EPS of $0.55, marking a 7.84% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $631.33 million, up 13.59% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.21 per share and a revenue of $2.3 billion, indicating changes of +14.51% and 0%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for BellRing Brands. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.16% lower within the past month. At present, BellRing Brands boasts a Zacks Rank of #5 (Strong Sell).
In terms of valuation, BellRing Brands is currently trading at a Forward P/E ratio of 15.13. For comparison, its industry has an average Forward P/E of 16.19, which means BellRing Brands is trading at a discount to the group.
It is also worth noting that BRBR currently has a PEG ratio of 1.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. BRBR's industry had an average PEG ratio of 1.75 as of yesterday's close.
The Food – Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 191, putting it in the bottom 23% of all 250+ industries.
