Vale S.A. (VALE) Stock Declines More Than Market: Key Facts and Future Outlook

In the latest trading session, shares of Vale S.A. (VALE) declined by 4.79% to close at $9.35. This decline was larger than the S&P 500's daily loss of 0.84%, while the Dow Jones Industrial Average and Nasdaq, a tech-heavy index, fell by 0.7% and 0.91%, respectively. Looking at the company's performance over the past month, VALE shares had gained 0.2%, outpacing the Basic Materials sector's loss of 0% but lagging the S&P 500's gain of 1.44%. Investors will be eagerly awaiting the company's upcoming earnings disclosure, which is expected to report an EPS of $0.44, marking a 2.33% rise compared to the same quarter of the previous year. The latest consensus estimate also expects revenue to be $10 billion, showing a 0.78% escalation compared to the year-ago quarter. For the full year, Zacks Consensus Estimates are projecting earnings of $1.78 per share and revenue of $39.39 billion, which would represent changes of -2.2% and +3.5%, respectively, from the prior year. There has been no change in the Zacks Consensus EPS estimate for VALE S.A. over the past month, and the company currently holds a Zacks Rank of #3 (Hold). From a valuation perspective, VALE S.A. is currently trading at a Forward P/E ratio of 5.52, which is in line with its industry average Forward P/E ratio of 5.52. Additionally, the company has a PEG ratio of 0.32, which takes into account the stock's expected earnings growth rate and is similar to the average PEG ratio of 0.32 for the Mining - Iron industry. The Mining - Iron industry is part of the Basic Materials sector and currently holds a Zacks Industry Rank of 93, positioning it in the top 38% of all 250+ industries. 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 to stay up-to-date on the latest recommendations from Zacks Investment Research.