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Canadian Solar (CSIQ) Stock Moves -0.17%: What You Should Know

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Canadian Solar (CSIQ - Free Report) closed the most recent trading day at $22.96, moving -0.17% from the previous trading session. This change was narrower than the S&P 500's 1.23% loss on the day. At the same time, the Dow lost 1.31%, and the tech-heavy Nasdaq lost 2.29%.

Prior to today's trading, shares of the solar wafers manufacturer had gained 23.26% over the past month. This has outpaced the Oils-Energy sector's loss of 0.18% and the S&P 500's gain of 5.2% in that time.

Investors will be hoping for strength from CSIQ as it approaches its next earnings release. On that day, CSIQ is projected to report earnings of $0 per share, which would represent a year-over-year decline of 100%. Our most recent consensus estimate is calling for quarterly revenue of $660.57 million, down 36.26% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.74 per share and revenue of $3.33 billion, which would represent changes of +25.11% and +4.08%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for CSIQ. These revisions help to show the ever-changing nature of near-term business trends. 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.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.07% higher within the past month. CSIQ currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that CSIQ has a Forward P/E ratio of 8.4 right now. For comparison, its industry has an average Forward P/E of 34.93, which means CSIQ is trading at a discount to the group.

Investors should also note that CSIQ has a PEG ratio of 0.26 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Solar stocks are, on average, holding a PEG ratio of 1.13 based on yesterday's closing prices.

The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 38% 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.

To follow CSIQ in the coming trading sessions, be sure to utilize Zacks.com.


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