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Why Louisiana-Pacific (LPX) Dipped More Than Broader Market Today
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Louisiana-Pacific (LPX - Free Report) ended the recent trading session at $75.74, demonstrating a -2.35% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.37% for the day. On the other hand, the Dow registered a gain of 0.29%, and the technology-centric Nasdaq decreased by 1.33%.
Heading into today, shares of the home construction supplier had gained 10% over the past month, lagging the Construction sector's gain of 10.2% and outpacing the S&P 500's gain of 2.02%.
Investors will be eagerly watching for the performance of Louisiana-Pacific in its upcoming earnings disclosure. In that report, analysts expect Louisiana-Pacific to post earnings of $0.64 per share. This would mark a year-over-year decline of 35.35%. At the same time, our most recent consensus estimate is projecting a revenue of $683 million, reflecting a 9.54% fall from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2 per share and a revenue of $2.57 billion, representing changes of -24.53% and -5%, respectively, from the prior year.
Any recent changes to analyst estimates for Louisiana-Pacific should also be noted by investors. These revisions help to show the ever-changing nature 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 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, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Louisiana-Pacific possesses a Zacks Rank of #4 (Sell).
In the context of valuation, Louisiana-Pacific is at present trading with a Forward P/E ratio of 38.78. This represents a premium compared to its industry average Forward P/E of 28.85.
Also, we should mention that LPX has a PEG ratio of 1.95. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Building Products - Wood industry currently had an average PEG ratio of 1.56 as of yesterday's close.
The Building Products - Wood industry is part of the Construction sector. With its current Zacks Industry Rank of 206, this industry ranks in the bottom 16% of all industries, numbering over 250.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Why Louisiana-Pacific (LPX) Dipped More Than Broader Market Today
Louisiana-Pacific (LPX - Free Report) ended the recent trading session at $75.74, demonstrating a -2.35% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.37% for the day. On the other hand, the Dow registered a gain of 0.29%, and the technology-centric Nasdaq decreased by 1.33%.
Heading into today, shares of the home construction supplier had gained 10% over the past month, lagging the Construction sector's gain of 10.2% and outpacing the S&P 500's gain of 2.02%.
Investors will be eagerly watching for the performance of Louisiana-Pacific in its upcoming earnings disclosure. In that report, analysts expect Louisiana-Pacific to post earnings of $0.64 per share. This would mark a year-over-year decline of 35.35%. At the same time, our most recent consensus estimate is projecting a revenue of $683 million, reflecting a 9.54% fall from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2 per share and a revenue of $2.57 billion, representing changes of -24.53% and -5%, respectively, from the prior year.
Any recent changes to analyst estimates for Louisiana-Pacific should also be noted by investors. These revisions help to show the ever-changing nature 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 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, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Louisiana-Pacific possesses a Zacks Rank of #4 (Sell).
In the context of valuation, Louisiana-Pacific is at present trading with a Forward P/E ratio of 38.78. This represents a premium compared to its industry average Forward P/E of 28.85.
Also, we should mention that LPX has a PEG ratio of 1.95. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Building Products - Wood industry currently had an average PEG ratio of 1.56 as of yesterday's close.
The Building Products - Wood industry is part of the Construction sector. With its current Zacks Industry Rank of 206, this industry ranks in the bottom 16% of all industries, numbering over 250.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.