In the latest trading session, Vita Coco Company, Inc. (COCO) closed at $39.96, marking a +2.42% move from the previous day. The stock outperformed the S&P 500, which registered a daily gain of 0.59%. At the same time, the Dow added 0.65%, and the tech-heavy Nasdaq gained 0.44%.
Shares of the company witnessed a gain of 10.7% over the previous month, beating the performance of the Consumer Staples sector with its loss of 3.11%, and the S&P 500's gain of 2.72%.
The upcoming earnings release of Vita Coco Company, Inc. will be of great interest to investors. The company is forecasted to report an EPS of $0.31, showcasing a 3.13% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $156.69 million, up 17.89% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.16 per share and revenue of $580.79 million, indicating changes of +8.41% and +12.55%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Vita Coco Company, Inc. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending 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.
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, the Zacks Consensus EPS estimate remained stagnant. Right now, Vita Coco Company, Inc. possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, Vita Coco Company, Inc. is currently exchanging hands at a Forward P/E ratio of 33.75. This indicates a premium in contrast to its industry's Forward P/E of 17.42.
We can also see that COCO currently has a PEG ratio of 2.07. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Beverages – Soft drinks industry held an average PEG ratio of 2.25.
The Beverages – Soft drinks industry is part of the Consumer Staples sector. Currently, this industry holds a Zacks Industry Rank of 227, positioning it in the bottom 9% of all 250+ industries.
