Back to top

Image: Bigstock

Reservoir Media, Inc. (RSVR) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Reservoir Media, Inc. (RSVR - Free Report) closed at $6.11 in the latest trading session, marking a -0.49% move from the prior day. This change lagged the S&P 500's 1.49% gain on the day. Meanwhile, the Dow gained 1.6%, and the Nasdaq, a tech-heavy index, added 0.06%.

Prior to today's trading, shares of the company had gained 0.66% over the past month. This has outpaced the Consumer Discretionary sector's loss of 3.85% and the S&P 500's loss of 3.49% in that time.

Wall Street will be looking for positivity from Reservoir Media, Inc. as it approaches its next earnings report date. The company is expected to report EPS of $0.02, up 100% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $27.85 million, up 2.65% from the year-ago period.

RSVR's full-year Zacks Consensus Estimates are calling for earnings of $0.18 per share and revenue of $120.31 million. These results would represent year-over-year changes of +80% and +11.56%, respectively.

Any recent changes to analyst estimates for Reservoir Media, Inc. should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Reservoir Media, Inc. is currently sporting a Zacks Rank of #2 (Buy).

Investors should also note Reservoir Media, Inc.'s current valuation metrics, including its Forward P/E ratio of 34.11. This represents a premium compared to its industry's average Forward P/E of 20.81.

It is also worth noting that RSVR currently has a PEG ratio of 1.95. 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. The Media Conglomerates industry currently had an average PEG ratio of 0.96 as of yesterday's close.

The Media Conglomerates industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 100, putting it in the top 40% 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 RSVR in the coming trading sessions, be sure to utilize

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Reservoir Media, Inc. (RSVR) - free report >>

Published in