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Stewart Information Services (STC) Gains But Lags Market: What You Should Know

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Stewart Information Services (STC - Free Report) closed at $49.76 in the latest trading session, marking a +1.26% move from the prior day. The stock lagged the S&P 500's daily gain of 1.92%. Elsewhere, the Dow gained 2.15%, while the tech-heavy Nasdaq added 0.12%.

Coming into today, shares of the title insurance and real estate services company had gained 7.04% in the past month. In that same time, the Finance sector lost 1.27%, while the S&P 500 gained 1.54%.

Stewart Information Services will be looking to display strength as it nears its next earnings release.

It is also important to note the recent changes to analyst estimates for Stewart Information Services. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Stewart Information Services is holding a Zacks Rank of #2 (Buy) right now.

Investors should also note Stewart Information Services's current valuation metrics, including its Forward P/E ratio of 6.1. This valuation marks a discount compared to its industry's average Forward P/E of 12.69.

The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 142, which puts it in the bottom 44% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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