Verso (VRS) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, Verso (VRS) closed at $26.80, marking a -0.11% move from the previous day. This change lagged the S&P 500's daily gain of 0.08%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 0.28%.

Coming into today, shares of the company had gained 32.17% in the past month. In that same time, the Basic Materials sector gained 7.48%, while the S&P 500 gained 0.22%.

Wall Street will be looking for positivity from Verso as it approaches its next earnings report date. In that report, analysts expect Verso to post earnings of $0.91 per share. This would mark year-over-year growth of 149.46%. Meanwhile, our latest consensus estimate is calling for revenue of $336.57 million, up 7.19% from the prior-year quarter.

Investors should also note any recent changes to analyst estimates for Verso. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Verso is currently a Zacks Rank #3 (Hold).

Digging into valuation, Verso currently has a Forward P/E ratio of 12. This valuation marks a premium compared to its industry's average Forward P/E of 11.98.

The Paper and Related Products industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 172, putting it in the bottom 33% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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