Wall Street analysts have the ability to provide stock ratings for companies that they track. Based on analysts used by Zacks Research, the present average broker rating on shares of Cabot Corporation (NYSE:CBT) is currently 1.29. This mean rating includes analysts who have offered Sell, Buy and Hold ratings on the equity. This rating lands on a numerical recommendation scale from 1 to 5. A score of 1 would represent a Buy recommendation, and a score of 5 would indicate a Sell recommendation. Out of all the analysts providing ratings, 6 have rated the stock a Strong Buy or Buy, based on data provided by Zacks Research.
Investors are constantly hunting for bargains when picking stocks. There may be times when a particular stock might be flying under the radar, but is usually only a matter of time before someone catches on. Investors might be widening their stock focus to find these undervalued names. This may include small caps, foreign stocks, or stocks that just haven’t become household names. Expanding the scope of interest may help the investor discover areas of future opportunity. Although there are plenty of investors who will stick to the solid, historically steady stocks, there are plenty more that are searching for that next big winner that will give the portfolio a big bump.
Zooming in on recent stock price action for Cabot Corporation (NYSE:CBT), we note that shares are trading near the 39.94 level. Investors will often follow stock price levels in relation to the 52-week high and low levels. The 52-week high is presently 67.07, and the 52-week low is sitting at 40.06. When a stock price is getting close to either the 52-week high or 52-week low, investors may track activity to watch for a move past the established mark. Over the last 12 weeks, shares have seen a change of -11.06%. Heading further back to the start of the year, we note that shares have seen a change of -4.68%. Focusing in closer to the last 4 weeks, shares have seen a change of -8.94%. Over the past five trading days, the stock has changed -0.53%.
Sell-side Wall Street analysts will commonly offer stock price target estimates. Many investors pay close attention to where the analysts project the stock moving in the future. After a recent scan, we can see that analysts polled by Zacks Research have set a consensus price target of $62.25 on shares of Cabot Corporation (NYSE:CBT). Price target estimates can be calculated using various methods, and they may be quite different depending on the individual analyst. A fully researched analyst report will generally provide detailed reasoning for a specific target price prediction. Some investors may track analyst targets very closely and use the information to complement their own stock research.
Taking a quick look at the current quarter EPS consensus estimate for Cabot Corporation (NYSE:CBT), we can see that the most recent level is sitting at 1. This EPS projection uses 6 Sell-Side analysts polled by Zacks Research. For the previous reported quarter, the company posted a quarterly EPS of 0.99. Covering analysts have the tough job of following companies and offering future estimates. These estimates are often closely followed on the Street, and earnings beats or misses revolve around these projections. Sometimes these predictions are extremely close to the actual reported number, and other times they may be way off. When a company posts actual earnings numbers, the surprise factor can lead to sudden stock price fluctuations. If a company meets and beats estimates and posts a positive earnings surprise, the stock may see a near-term bump. On the other end, a negative surprise may send the stock in the opposite direction. Many investors will choose to trade with caution around earnings releases and wait to make a move until after the major activity has subsided.
Even extremely solid stocks can sometimes face setbacks. There is no shortage of news regarding publically traded companies, and investors often have the tricky job of deciding what information is worth taking a closer look at. Making trading decisions based on one piece of data may not be the optimal course of action. When there is negative information about a company, investors may be quick to sell without looking deeper into the numbers. On the flip side, investors may be super quick to buy on good news without fully researching the stock.