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Sunoco LP (SUN) Laps the Stock Market: Here's Why

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In the latest market close, Sunoco LP (SUN - Free Report) reached $53.12, with a +1.9% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.71% for the day. On the other hand, the Dow registered a gain of 1.03%, and the technology-centric Nasdaq increased by 0.6%.

Shares of the master limited partnership witnessed a loss of 1.1% over the previous month, beating the performance of the Oils-Energy sector with its loss of 3.93% and underperforming the S&P 500's gain of 6.41%.

The investment community will be paying close attention to the earnings performance of Sunoco LP in its upcoming release. The company is slated to reveal its earnings on November 6, 2024. In that report, analysts expect Sunoco LP to post earnings of $1.56 per share. This would mark a year-over-year decline of 47.12%. At the same time, our most recent consensus estimate is projecting a revenue of $5.97 billion, reflecting a 5.58% fall from the equivalent quarter last year.

SUN's full-year Zacks Consensus Estimates are calling for earnings of $9.29 per share and revenue of $23.72 billion. These results would represent year-over-year changes of +154.52% and +2.82%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Sunoco LP. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Sunoco LP is holding a Zacks Rank of #3 (Hold) right now.

Investors should also note Sunoco LP's current valuation metrics, including its Forward P/E ratio of 5.61. This signifies a discount in comparison to the average Forward P/E of 19.95 for its industry.

The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 33, finds itself in the top 14% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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