In the latest close session, Freshpet (FRPT) was down 1.71% at $62.68. The stock trailed the S&P 500, which registered a daily loss of 0.45%. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.78%.
The stock of seller of refrigerated fresh pet food has fallen by 12.22% in the past month, lagging the Consumer Staples sector's loss of 0.24% and the S&P 500's loss of 1.99%.
The investment community will be closely monitoring the performance of Freshpet in its forthcoming earnings report. In that report, analysts expect Freshpet to post earnings of $0.38 per share. This would mark a year-over-year decline of 17.39%. In the meantime, our current consensus estimate forecasts the revenue to be $308.51 million, indicating a 6.81% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.73 per share and a revenue of $1.22 billion, representing changes of -34.47% and +10.73%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Freshpet. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent 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, the Zacks Consensus EPS estimate has remained steady. Right now, Freshpet possesses a Zacks Rank of #4 (Sell).
Looking at valuation, Freshpet is presently trading at a Forward P/E ratio of 36.97. This indicates a premium in contrast to its industry's Forward P/E of 13.84.
The Food - Miscellaneous industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 211, this industry ranks in the bottom 15% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Freshpet, Inc. (FRPT): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).