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Owens & Minor (OMI) Stock Sinks As Market Gains: What You Should Know

Owens & Minor (OMI) closed the most recent trading day at $41.17, moving -1.39% from the previous trading session. This change lagged the S&P 500's daily gain of 0.33%.

Prior to today's trading, shares of the medical supply distributor had lost 7.57% over the past month. This has lagged the Medical sector's gain of 2.77% and the S&P 500's gain of 1.74% in that time.

OMI will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.89, up 345% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.42 billion, up 34.08% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.79 per share and revenue of $9.61 billion. These totals would mark changes of +67.7% and +13.32%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for OMI. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.

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 10.66% lower within the past month. OMI is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, OMI currently has a Forward P/E ratio of 11.02. For comparison, its industry has an average Forward P/E of 28.49, which means OMI is trading at a discount to the group.

It is also worth noting that OMI currently has a PEG ratio of 0.59. 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 Medical - Products was holding an average PEG ratio of 2.31 at yesterday's closing price.

The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 190, which puts it in the bottom 26% 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.

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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