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Phillips 66 (PSX) Stock Moves -0.32%: What You Should Know

Phillips 66 (PSX) closed at $78.32 in the latest trading session, marking a -0.32% move from the prior day.

This story originally appeared on Zacks

In the latest trading session, Phillips 66 (PSX) closed at $78.32, marking a -0.32% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.94%. Meanwhile, the Dow lost 1.07%, and the Nasdaq, a tech-heavy index, lost 0.39%.

- Zacks

Heading into today, shares of the oil refiner had gained 8.4% over the past month, outpacing the Oils-Energy sector's gain of 5.65% and the S&P 500's gain of 5.72% in that time.

Phillips 66 will be looking to display strength as it nears its next earnings release, which is expected to be January 28, 2022. In that report, analysts expect Phillips 66 to post earnings of $1.71 per share. This would mark year-over-year growth of 247.41%. Our most recent consensus estimate is calling for quarterly revenue of $22.49 billion, up 34.11% from the year-ago period.

It is also important to note the recent changes to analyst estimates for Phillips 66. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 2.14% higher within the past month. Phillips 66 is currently a Zacks Rank #3 (Hold).

In terms of valuation, Phillips 66 is currently trading at a Forward P/E ratio of 11. For comparison, its industry has an average Forward P/E of 16.01, which means Phillips 66 is trading at a discount to the group.

Also, we should mention that PSX has a PEG ratio of 0.55. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Oil and Gas - Refining and Marketing stocks are, on average, holding a PEG ratio of 0.61 based on yesterday's closing prices.

The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

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