HEXO (HEXO) Gains As Market Dips: What You Should Know
HEXO (HEXO) closed the most recent trading day at $6.49, moving +1.09% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.54%. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, lost 2.41%.
Prior to today's trading, shares of the cannabis producer had lost 17.8% over the past month. This has lagged the Medical sector's loss of 5.8% and the S&P 500's loss of 1.04% in that time.
Investors will be hoping for strength from HEXO as it approaches its next earnings release, which is expected to be March 18, 2021. In that report, analysts expect HEXO to post earnings of -$0.03 per share. This would mark year-over-year growth of 90.63%. Our most recent consensus estimate is calling for quarterly revenue of $25.46 million, up 97.53% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.09 per share and revenue of $105.25 million, which would represent changes of +90.63% and +74.69%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for HEXO. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Within the past 30 days, our consensus EPS projection has moved 47.2% higher. HEXO is holding a Zacks Rank of #3 (Hold) right now.
The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 154, putting it in the bottom 40% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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