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Main Street Capital (MAIN) Beats Stock Market Upswing: What Investors Need to Know

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Main Street Capital (MAIN - Free Report) ended the recent trading session at $49.95, demonstrating a +0.95% swing from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.54%. Elsewhere, the Dow gained 0.72%, while the tech-heavy Nasdaq added 0.65%.

Shares of the investment firm have appreciated by 0.47% over the course of the past month, underperforming the Finance sector's gain of 4.89% and the S&P 500's gain of 4.86%.

The investment community will be paying close attention to the earnings performance of Main Street Capital in its upcoming release. The company is forecasted to report an EPS of $1.02, showcasing a 1.92% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $137.64 million, up 11.69% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $4.13 per share and a revenue of $543.87 million, demonstrating changes of -5.28% and +8.69%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Main Street Capital. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Main Street Capital possesses a Zacks Rank of #3 (Hold).

Digging into valuation, Main Street Capital currently has a Forward P/E ratio of 11.98. For comparison, its industry has an average Forward P/E of 7.97, which means Main Street Capital is trading at a premium to the group.

The Financial - SBIC & Commercial Industry industry is part of the Finance sector. With its current Zacks Industry Rank of 179, this industry ranks in the bottom 30% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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