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In the latest trading session, Dow Inc. (DOW) closed at $40.13, marking a +1.75% move from the previous day. The stock exceeded the S&P 500, which registered a loss of 0.43% for the day. On the other hand, the Dow registered a loss of 0.07%, and the technology-centric Nasdaq decreased by 0.9%.
The materials science's stock has dropped by 11.13% in the past month, falling short of the Basic Materials sector's loss of 10.12% and the S&P 500's loss of 1.98%.
Investors will be eagerly watching for the performance of Dow Inc. in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on January 30, 2025. In that report, analysts expect Dow Inc. to post earnings of $0.33 per share. This would mark a year-over-year decline of 23.26%. Our most recent consensus estimate is calling for quarterly revenue of $10.5 billion, down 1.12% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.05 per share and a revenue of $43.14 billion, indicating changes of -8.48% and -3.32%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Dow Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.38% lower. Dow Inc. is currently sporting a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Dow Inc. has a Forward P/E ratio of 19.25 right now. This expresses a premium compared to the average Forward P/E of 15.47 of its industry.
One should further note that DOW currently holds a PEG ratio of 1.24. 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. DOW's industry had an average PEG ratio of 1.14 as of yesterday's close.