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Ardmore Shipping (ASC) Stock Declines While Market Improves: Some Information for Investors

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In the latest trading session, Ardmore Shipping (ASC - Free Report) closed at $12.54, marking a -1.34% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.44%. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq added 0.7%.

Coming into today, shares of the shipping company had gained 11% in the past month. In that same time, the Transportation sector lost 1.25%, while the S&P 500 gained 4.03%.

The upcoming earnings release of Ardmore Shipping will be of great interest to investors. It is anticipated that the company will report an EPS of $0.28, marking a 49.09% fall compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $43.64 million, down 29.09% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.2 per share and a revenue of $191.59 million, representing changes of -57.75% and -29.86%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Ardmore Shipping. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, Ardmore Shipping possesses a Zacks Rank of #2 (Buy).

Looking at its valuation, Ardmore Shipping is holding a Forward P/E ratio of 10.59. This signifies a discount in comparison to the average Forward P/E of 10.96 for its industry.

The Transportation - Shipping industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 172, placing it within the bottom 31% of over 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.

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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