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Hyster-Yale (HY) Stock Falls Amid Market Uptick: What Investors Need to Know

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In the latest close session, Hyster-Yale (HY - Free Report) was down 2.37% at $41.14. The stock's change was less than the S&P 500's daily gain of 0.38%. On the other hand, the Dow registered a gain of 0.24%, and the technology-centric Nasdaq increased by 0.24%.

The maker of lift trucks and aftermarket parts's shares have seen a decrease of 1.1% over the last month, not keeping up with the Industrial Products sector's gain of 6.06% and the S&P 500's gain of 6.6%.

The investment community will be closely monitoring the performance of Hyster-Yale in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.07, reflecting a 98.04% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $936.9 million, indicating a 19.79% decrease compared to the same quarter of the previous year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.36 per share and a revenue of $3.69 billion, indicating changes of -84.86% and -14.29%, respectively, from the former year.

It is also important to note the recent changes to analyst estimates for Hyster-Yale. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Hyster-Yale currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Hyster-Yale is currently trading at a Forward P/E ratio of 30.99. For comparison, its industry has an average Forward P/E of 15.1, which means Hyster-Yale is trading at a premium to the group.

The Manufacturing - Construction and Mining industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 185, this industry ranks in the bottom 25% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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