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Astronics Corporation (ATRO) Gains But Lags Market: What You Should Know

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Astronics Corporation (ATRO - Free Report) closed at $14.72 in the latest trading session, marking a +0.96% move from the prior day. This move lagged the S&P 500's daily gain of 1.96%. Meanwhile, the Dow gained 1.57%, and the Nasdaq, a tech-heavy index, lost 3.03%.

Heading into today, shares of the company had gained 9.13% over the past month, outpacing the Aerospace sector's loss of 1.75% and the S&P 500's gain of 2.19% in that time.

Astronics Corporation will be looking to display strength as it nears its next earnings release, which is expected to be May 9, 2023. In that report, analysts expect Astronics Corporation to post earnings of -$0.08 per share. This would mark year-over-year growth of 78.95%. Our most recent consensus estimate is calling for quarterly revenue of $142.54 million, up 22.69% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.03 per share and revenue of $623.36 million, which would represent changes of +102.16% and +16.54%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Astronics Corporation. Recent revisions tend to reflect the latest near-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. 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.

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. Astronics Corporation is holding a Zacks Rank of #2 (Buy) right now.

Investors should also note Astronics Corporation's current valuation metrics, including its Forward P/E ratio of 486. For comparison, its industry has an average Forward P/E of 23.02, which means Astronics Corporation is trading at a premium to the group.

The Aerospace - Defense Equipment industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 172, putting it in the bottom 32% 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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