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Here's Why Adma Biologics (ADMA) Fell More Than Broader Market

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Adma Biologics (ADMA - Free Report) ended the recent trading session at $17.74, demonstrating a -2.15% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 0.22%. At the same time, the Dow added 0.08%, and the tech-heavy Nasdaq lost 0.51%.

The infectious disease drug developer's stock has dropped by 10.07% in the past month, falling short of the Medical sector's loss of 0% and the S&P 500's gain of 0.45%.

Analysts and investors alike will be keeping a close eye on the performance of Adma Biologics in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.14, marking a 7.69% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $121.1 million, showing a 12.98% escalation compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $0.67 per share and revenue of $505.8 million, which would represent changes of +36.73% and +18.61%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Adma Biologics. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Adma Biologics boasts a Zacks Rank of #3 (Hold).

In terms of valuation, Adma Biologics is presently being traded at a Forward P/E ratio of 27.26. This expresses a premium compared to the average Forward P/E of 19.86 of its industry.

The Medical - Biomedical and Genetics industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 87, placing it within the top 36% of over 250 industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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