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Ardmore Shipping (ASC) Stock Falls Amid Market Uptick: What Investors Need to Know

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Ardmore Shipping (ASC - Free Report) closed at $12.07 in the latest trading session, marking a -3.13% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.26%. Elsewhere, the Dow saw an upswing of 0.15%, while the tech-heavy Nasdaq appreciated by 0.48%.

Coming into today, shares of the shipping company had gained 7.23% in the past month. In that same time, the Transportation sector lost 0.61%, while the S&P 500 gained 2.87%.

The upcoming earnings release of Ardmore Shipping will be of great interest to investors. The company is predicted to post an EPS of $0.28, indicating a 49.09% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $43.64 million, down 29.09% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.2 per share and a revenue of $191.59 million, indicating changes of -57.75% and -29.86%, respectively, from the former year.

Any recent changes to analyst estimates for Ardmore Shipping should also be noted by investors. 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.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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, Ardmore Shipping boasts a Zacks Rank of #2 (Buy).

In the context of valuation, Ardmore Shipping is at present trading with a Forward P/E ratio of 10.38. For comparison, its industry has an average Forward P/E of 11.29, which means Ardmore Shipping is trading at a discount to the group.

The Transportation - Shipping industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 61, placing it within the top 25% of over 250 industries.

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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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