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Why Powell Industries (POWL) Dipped More Than Broader Market Today
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Powell Industries (POWL - Free Report) closed at $292.70 in the latest trading session, marking a -3.57% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.57% for the day. On the other hand, the Dow registered a gain of 0.64%, and the technology-centric Nasdaq decreased by 1.15%.
Coming into today, shares of the energy equipment company had gained 13.77% in the past month. In that same time, the Industrial Products sector gained 4.73%, while the S&P 500 gained 2.14%.
Market participants will be closely following the financial results of Powell Industries in its upcoming release. The company's earnings per share (EPS) are projected to be $1.49, reflecting a 12.88% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $318.25 million, indicating a 11.17% growth compared to the corresponding quarter of the prior year.
POWL's full-year Zacks Consensus Estimates are calling for earnings of $5.47 per share and revenue of $1.2 billion. These results would represent year-over-year changes of +10.51% and +8.73%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Powell Industries. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Powell Industries presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Powell Industries is currently being traded at a Forward P/E ratio of 55.49. For comparison, its industry has an average Forward P/E of 22.58, which means Powell Industries is trading at a premium to the group.
Investors should also note that POWL has a PEG ratio of 3.96 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Manufacturing - Electronics industry had an average PEG ratio of 1.76 as trading concluded yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 75, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
View the Zacks #1 Rank List
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Why Powell Industries (POWL) Dipped More Than Broader Market Today
Powell Industries (POWL - Free Report) closed at $292.70 in the latest trading session, marking a -3.57% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.57% for the day. On the other hand, the Dow registered a gain of 0.64%, and the technology-centric Nasdaq decreased by 1.15%.
Coming into today, shares of the energy equipment company had gained 13.77% in the past month. In that same time, the Industrial Products sector gained 4.73%, while the S&P 500 gained 2.14%.
Market participants will be closely following the financial results of Powell Industries in its upcoming release. The company's earnings per share (EPS) are projected to be $1.49, reflecting a 12.88% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $318.25 million, indicating a 11.17% growth compared to the corresponding quarter of the prior year.
POWL's full-year Zacks Consensus Estimates are calling for earnings of $5.47 per share and revenue of $1.2 billion. These results would represent year-over-year changes of +10.51% and +8.73%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Powell Industries. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Powell Industries presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Powell Industries is currently being traded at a Forward P/E ratio of 55.49. For comparison, its industry has an average Forward P/E of 22.58, which means Powell Industries is trading at a premium to the group.
Investors should also note that POWL has a PEG ratio of 3.96 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Manufacturing - Electronics industry had an average PEG ratio of 1.76 as trading concluded yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 75, putting it in the top 31% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.