Diageo plc, is current pricing attractive enough?
A shift occurred in the market expectations for Diageo plc (DGE)'s earnings on 2024-03-18, leading up to its next results.
Earnings estimates reflect the consensus expectations of analysts and investors, influencing market sentiment and stock prices. Average revenue has been revised down from 16151100000 to 16128000000. These figure are based on the prediction of 21 analysts.
The average EPS (yearly) is expected to be at 1.48 for the period ending on 30-06-2024 between expected lower and upper bands at 1.39 and 1.6 respectively. This is an decrease of about -0.045 from the EPS of 1.55 from a year ago. Similarly the average revenue is expected to be at 16128000000 between expected lower and upper bands at 15820800000 and 18659800000 respectively. As compared to the revenue of 16294400000 from a year ago, the current estimate indicates an decrease of roughly -0.01
The reduction in earnings estimates may lead to price decreases ahead of the forthcoming results, providing investors with an early exit or selling opportunity.
On 2024-03-18, the price expectations for DGE underwent a transformation.
Through their meticulous research endeavors, analysts furnish investors with a diverse array of maximum and minimum price projections for different stocks, offering valuable benchmarks for investment decisions. Collating insights from 22 industry insiders, the future price for DGE is projected to range between 2412.0 and 3568.0, with the mean expectation hovering around 3075.0.
Any increase in price projections reflects an adjustment in analysts' thinking which gets picked up by investers and generally ignites a bullish upsurge.
Technical Summary
The current price of 2872.5 finds support at 2845.5 and resistance at 3025.0. The recent price move is approaching support.
The PSAR continues to be bullish in its current outlook.
DISCLAIMER: We provide information and our musings based on events, but nothing on this site can be considered professional advice of any kind.
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