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Cushman & Wakefield (CWK) Stock Sinks As Market Gains: What You Should Know

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Cushman & Wakefield (CWK - Free Report) closed the most recent trading day at $21.80, moving -1.8% from the previous trading session. This move lagged the S&P 500's daily gain of 0.08%. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 4.81%.

Heading into today, shares of the company had gained 7.13% over the past month, outpacing the Finance sector's gain of 5.21% and the S&P 500's gain of 0.64% in that time.

Cushman & Wakefield will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cushman & Wakefield to post earnings of $0.60 per share. This would mark year-over-year growth of 39.53%. Meanwhile, our latest consensus estimate is calling for revenue of $2.6 billion, up 14.17% from the prior-year quarter.

Investors should also note any recent changes to analyst estimates for Cushman & Wakefield. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Cushman & Wakefield is currently sporting a Zacks Rank of #3 (Hold).

In terms of valuation, Cushman & Wakefield is currently trading at a Forward P/E ratio of 11.05. For comparison, its industry has an average Forward P/E of 19.08, which means Cushman & Wakefield is trading at a discount to the group.

Also, we should mention that CWK has a PEG ratio of 1.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CWK's industry had an average PEG ratio of 1.73 as of yesterday's close.

The Real Estate - Operations industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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