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Powell Industries (POWL) Sees a More Significant Dip Than Broader Market: Some Facts to Know

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In the latest close session, Powell Industries (POWL - Free Report) was down 1.15% at $230.63. This change lagged the S&P 500's daily loss of 0.13%. Meanwhile, the Dow experienced a drop of 0.39%, and the technology-dominated Nasdaq saw an increase of 0.15%.

The energy equipment company's shares have seen an increase of 11.08% over the last month, surpassing the Industrial Products sector's gain of 5.75% and the S&P 500's gain of 3.39%.

Analysts and investors alike will be keeping a close eye on the performance of Powell Industries in its upcoming earnings disclosure. The company's earnings report is set to go public on August 5, 2025. The company is forecasted to report an EPS of $3.73, showcasing a 1.58% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $295.12 million, indicating a 2.41% upward movement from the same quarter last year.

POWL's full-year Zacks Consensus Estimates are calling for earnings of $14.17 per share and revenue of $1.11 billion. These results would represent year-over-year changes of +15.3% and +9.82%, respectively.

Any recent changes to analyst estimates for Powell Industries should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Powell Industries currently has a Zacks Rank of #3 (Hold).

Investors should also note Powell Industries's current valuation metrics, including its Forward P/E ratio of 16.47. This valuation marks a discount compared to its industry average Forward P/E of 24.58.

Also, we should mention that POWL has a PEG ratio of 1.18. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Manufacturing - Electronics industry had an average PEG ratio of 2.03.

The Manufacturing - Electronics industry is part of the Industrial Products sector. At present, this industry carries a Zacks Industry Rank of 38, placing it within the top 16% of over 250 industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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