Avon, Jacobs Engineering: S&P Laggards
The S&P 500 rose 7.91 points, or 0.57% to 1,405.82 as Wall Street began May on a positive note with investors encouraged by a strong read on manufacturing activity last month.
Shares of Avon Products dropped 8.01% to $19.87 on Tuesday. The beauty products company reported first-quarter earnings of $26.5 million, or 6 cents a share, down from year-earlier earnings of $143.6 million, or 33 cents per share.
The stock currently trades at an estimated price-to-earnings ratio for next year of 11.89X; the average for personal products companies is 15.59X. For comparison, Estee Lauder (EL) has a higher forward P/E of 24.61X.Eleven of the 16 analysts who cover Avon Products rate it at hold. Four analysts give the stock a buy rating and one rates it at sell. The stock has risen 13.74% year to date.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV