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Mesa Labs (MLAB) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Mesa Labs (MLAB - Free Report) closed at $190.51, marking a +0.93% move from the previous day. This move outpaced the S&P 500's daily gain of 0.4%. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 1.1%.

Prior to today's trading, shares of the quality control instruments and disposable products maker had gained 13.38% over the past month. This has outpaced the Medical sector's loss of 0.96% and the S&P 500's loss of 0.01% in that time.

Mesa Labs will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2023. The company is expected to report EPS of $2.10, up 54.41% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $57.72 million, up 5.53% from the year-ago period.

MLAB's full-year Zacks Consensus Estimates are calling for earnings of $9.15 per share and revenue of $228.11 million. These results would represent year-over-year changes of +28.87% and +23.75%, respectively.

Investors should also note any recent changes to analyst estimates for Mesa Labs. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Mesa Labs is currently a Zacks Rank #1 (Strong Buy).

Looking at its valuation, Mesa Labs is holding a Forward P/E ratio of 20.64. Its industry sports an average Forward P/E of 25.67, so we one might conclude that Mesa Labs is trading at a discount comparatively.

The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 143, putting it in the bottom 44% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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 MLAB in the coming trading sessions, be sure to utilize Zacks.com.


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