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Aaron's Company, Inc. (AAN) Rises Yet Lags Behind Market: Some Facts Worth Knowing

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The latest trading session saw Aaron's Company, Inc. (AAN - Free Report) ending at $10.79, denoting a +0.56% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily gain of 0.76%. Elsewhere, the Dow gained 0.59%, while the tech-heavy Nasdaq added 1.12%.

Shares of the specialty retail witnessed a loss of 1.38% over the previous month, trailing the performance of the Consumer Discretionary sector with its gain of 1.72% and the S&P 500's gain of 2.5%.

The upcoming earnings release of Aaron's Company, Inc. will be of great interest to investors. The company is expected to report EPS of $0.03, down 66.67% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $542.88 million, down 7.92% from the year-ago period.

Investors should also note any recent changes to analyst estimates for Aaron's Company, Inc. 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. As of now, Aaron's Company, Inc. holds a Zacks Rank of #3 (Hold).

In the context of valuation, Aaron's Company, Inc. is at present trading with a Forward P/E ratio of 10.82. This represents a discount compared to its industry's average Forward P/E of 13.4.

The Consumer Services - Miscellaneous industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 96, putting it in the top 39% 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.

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


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