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VALE S.A. (VALE) Rises As Market Takes a Dip: Key Facts

VALE S.A. (VALE) closed the most recent trading day at $11.29, moving +0.98% from the previous trading session. The stock outperformed the S&P 500, which registered a daily loss of 0.25%. Elsewhere, the Dow saw an upswing of 0.77%, while the tech-heavy Nasdaq depreciated by 0.79%.

Prior to today's trading, shares of the company had lost 11.62% over the past month. This has lagged the Basic Materials sector's loss of 6.47% and the S&P 500's gain of 3.59% in that time.

The investment community will be closely monitoring the performance of VALE S.A. in its forthcoming earnings report. The company is expected to report EPS of $0.52, up 160% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $10.29 billion, indicating a 6.36% growth compared to the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.18 per share and revenue of $42.21 billion, indicating changes of +19.13% and +1.02%, respectively, compared to the previous year.

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Investors should also note any recent changes to analyst estimates for VALE S.A. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. VALE S.A. is currently a Zacks Rank #4 (Sell).

Valuation is also important, so investors should note that VALE S.A. has a Forward P/E ratio of 5.14 right now. This signifies no noticeable deviation in comparison to the average Forward P/E of 5.14 for its industry.

We can also see that VALE currently has a PEG ratio of 4.94. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Mining - Iron stocks are, on average, holding a PEG ratio of 4.94 based on yesterday's closing prices.

The Mining - Iron industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 243, putting it in the bottom 4% 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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VALE S.A. (VALE) : Free Stock Analysis Report

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Zacks Investment Research