At Home Group closed the most recent trading day at $36.99, moving -0.01% from the previous trading session. This move lagged the S&P 500's daily gain of 0.1%.
Heading into today, shares of the home decor retailer had gained 0.65% over the past month, outpacing the Retail-Wholesale sector's loss of 3.69% and lagging the S&P 500's gain of 1.53% in that time.
Investors will be hoping for strength from HOME as it approaches its next earnings release.
Investors should also note any recent changes to analyst estimates for HOME. These revisions help to show the ever-changing nature of 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. 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 13.53% lower within the past month. HOME is holding a Zacks Rank of #4 (Sell) right now.
Valuation is also important, so investors should note that HOME has a Forward P/E ratio of 23.71 right now. For comparison, its industry has an average Forward P/E of 15.11, which means HOME is trading at a premium to the group.
Meanwhile, HOME's PEG ratio is currently 0.64. 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. The Retail - Home Furnishings industry currently had an average PEG ratio of 1.44 as of yesterday's close.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 53, putting it in the top 21% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow HOME in the coming trading sessions, be sure to utilize Zacks.com.