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Star Bulk Carriers (SBLK) closed at $14.70 in the latest trading session, marking a -1.01% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 1.07%. Elsewhere, the Dow lost 0.97%, while the tech-heavy Nasdaq lost 1.19%.
Shares of the shipping company have depreciated by 14.26% over the course of the past month, underperforming the Transportation sector's loss of 6.6% and the S&P 500's loss of 0.36%.
The investment community will be closely monitoring the performance of Star Bulk Carriers in its forthcoming earnings report. On that day, Star Bulk Carriers is projected to report earnings of $0.39 per share, which would represent a year-over-year decline of 46.58%. At the same time, our most recent consensus estimate is projecting a revenue of $299.25 million, reflecting a 13.58% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $2.73 per share and a revenue of $1.26 billion, demonstrating changes of +48.37% and +32.29%, respectively, from the preceding year.
Any recent changes to analyst estimates for Star Bulk Carriers should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Star Bulk Carriers holds a Zacks Rank of #5 (Strong Sell).
With respect to valuation, Star Bulk Carriers is currently being traded at a Forward P/E ratio of 5.44. For comparison, its industry has an average Forward P/E of 6.13, which means Star Bulk Carriers is trading at a discount to the group.
Meanwhile, SBLK's PEG ratio is currently 3.7. 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. The Transportation - Shipping industry had an average PEG ratio of 0.64 as trading concluded yesterday.