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Griffon (GFF) Stock Moves -2.54%: What You Should Know

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In the latest trading session, Griffon (GFF - Free Report) closed at $74.76, marking a -2.54% move from the previous day. On the other hand, the Dow registered a loss of 0.16%, and the technology-centric Nasdaq increased by 0.55%.

Prior to today's trading, shares of the garage door and building products maker had gained 0.74% outpaced the Conglomerates sector's gain of 0.4% and lagged the S&P 500's gain of 3.83%.

The upcoming earnings release of Griffon will be of great interest to investors. On that day, Griffon is projected to report earnings of $1.56 per share, which would represent year-over-year growth of 6.12%. Simultaneously, our latest consensus estimate expects the revenue to be $629.69 million, showing a 4.55% drop compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $5.67 per share and revenue of $2.49 billion, which would represent changes of +10.74% and 0%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Griffon. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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 has moved 0.78% lower. Griffon currently has a Zacks Rank of #3 (Hold).

Investors should also note Griffon's current valuation metrics, including its Forward P/E ratio of 12.12. This indicates a discount in contrast to its industry's Forward P/E of 19.22.

We can also see that GFF currently has a PEG ratio of 1.04. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Diversified Operations industry held an average PEG ratio of 1.86.

The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 73, putting it in the top 30% of all 250+ industries.

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.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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