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Powell Industries (POWL) Suffers a Larger Drop Than the General Market: Key Insights

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Powell Industries (POWL - Free Report) closed the most recent trading day at $125.06, moving -12.61% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 4.36%. Elsewhere, the Dow saw a downswing of 3.44%, while the tech-heavy Nasdaq depreciated by 5.52%.

Shares of the energy equipment company have depreciated by 27.63% over the course of the past month, underperforming the Industrial Products sector's loss of 5.7%, and the S&P 500's loss of 0.38%.

The upcoming earnings release of Powell Industries will be of great interest to investors. The company's earnings report is expected on November 16, 2026. In that report, analysts expect Powell Industries to post earnings of $1.52 per share. This would mark year-over-year growth of 7.8%. Meanwhile, our latest consensus estimate is calling for revenue of $328.35 million, up 10.19% from the prior-year quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.36 per share and a revenue of $1.19 billion, indicating changes of +8.28% and +7.57%, respectively, from the former year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Powell Industries. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Powell Industries holds a Zacks Rank of #4 (Sell).

Looking at valuation, Powell Industries is presently trading at a Forward P/E ratio of 20.83. This indicates a discount in contrast to its industry's Forward P/E of 22.55.

Meanwhile, POWL's PEG ratio is currently 1.49. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Manufacturing - Electronics was holding an average PEG ratio of 1.54 at yesterday's closing price.

The Manufacturing - Electronics industry is part of the Industrial Products sector. At present, this industry carries a Zacks Industry Rank of 110, placing it within the top 45% of over 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.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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