Aaron's (AAN - Free Report) closed the most recent trading day at $55.59, moving -1.05% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.16%. At the same time, the Dow lost 1.84%, and the tech-heavy Nasdaq lost 0.13%.
Heading into today, shares of the rent-to-own company had lost 0.95% over the past month, outpacing the Retail-Wholesale sector's loss of 3.74% and the S&P 500's loss of 1.96% in that time.
AAN will be looking to display strength as it nears its next earnings release. In that report, analysts expect AAN to post earnings of $1.43 per share. This would mark year-over-year growth of 95.89%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.01 billion, up 4.74% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.57 per share and revenue of $4.17 billion, which would represent changes of +17.48% and +5.56%, respectively, from the prior year.
Any recent changes to analyst estimates for AAN should also be noted by investors. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 15.31% higher within the past month. AAN is currently a Zacks Rank #1 (Strong Buy).
Digging into valuation, AAN currently has a Forward P/E ratio of 12.29. This valuation marks a discount compared to its industry's average Forward P/E of 14.82.
Meanwhile, AAN's PEG ratio is currently 0.68. 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. AAN's industry had an average PEG ratio of 1.21 as of yesterday's close.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 35, which puts it in the top 14% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.