Ecopetrol (EC) Gains As Market Dips: What You Should Know

In the latest close session, Ecopetrol (EC) was up +2.45% at $8.78. This move outpaced the S&P 500's daily loss of 0.3%. Meanwhile, the Dow lost 0.46%, and the Nasdaq, a tech-heavy index, lost 0.38%. Shares of the oil and natural gas exploration company have depreciated by 3.16% over the course of the past month, underperforming the Oils-Energy sector's gain of 3.2%, and the S&P 500's gain of 3.64%.The investment community will be closely monitoring the performance of Ecopetrol in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.41, marking a 2.38% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $7.35 billion, reflecting a 11.65% fall from the equivalent quarter last year. For the full year, the Zacks Consensus Estimates project earnings of $1.53 per share and a revenue of $29.13 billion, demonstrating changes of -7.83% and -11.05%, respectively, from the preceding year. It is also important to note the recent changes to analyst estimates for Ecopetrol. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits. Based on our research, we believe these estimate revisions are directly related to near-term 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. 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. Over the past month, there's been a 9.35% fall in the Zacks Consensus EPS estimate. Ecopetrol is holding a Zacks Rank of #4 (Sell) right now. Investors should also note Ecopetrol's current valuation metrics, including its Forward P/E ratio of 5.61. This indicates a discount in contrast to its industry's Forward P/E of 11.46. The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 162, placing it within the bottom 35% of over 250 industries. 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. To follow EC in the coming trading sessions, be sure to utilize Zacks.com. Should You Invest in Ecopetrol S.A. (EC)?Before you invest in Ecopetrol S.A. (EC), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ecopetrol S.A. (EC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks