Sony (SNE – Free Report) closed at $54.07 in the latest trading session, marking a -0.62% move from the prior day. This change was narrower than the S&P 500’s daily loss of 0.92%. Meanwhile, the Dow lost 0.77%, and the Nasdaq, a tech-heavy index, lost 1.65%.
Coming into today, shares of the electronics and media company had lost 2% in the past month. In that same time, the Consumer Discretionary sector lost 2.61%, while the S&P 500 lost 2.56%.
Investors will be hoping for strength from SNE as it approaches its next earnings release, which is expected to be February 1, 2019. On that day, SNE is projected to report earnings of $1.90 per share, which would represent year-over-year growth of 0.53%.
SNE’s full-year Zacks Consensus Estimates are calling for earnings of $4.54 per share and revenue of $80.75 billion. These results would represent year-over-year changes of +37.99% and +5.56%, respectively.
Investors might also notice recent changes to analyst estimates for SNE. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate has moved 9.01% higher. SNE currently has a Zacks Rank of #2 (Buy).
Digging into valuation, SNE currently has a Forward P/E ratio of 12. This represents a discount compared to its industry’s average Forward P/E of 17.34.
Also, we should mention that SNE has a PEG ratio of 1.19. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. SNE’s industry had an average PEG ratio of 1.19 as of yesterday’s close.
The Audio Video Production industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 78, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.