In the latest trading session, ARC Document Solutions closed at $3.07, marking a -1.29% move from the previous day. The stock lagged the S&P 500's daily loss of 0.28%. Meanwhile, the Dow gained 0.09%, and the Nasdaq, a tech-heavy index, lost 1.19%.
Heading into today, shares of the provider of document services to businesses had lost 4.02% over the past month, lagging the Industrial Products sector's gain of 1.53% and the S&P 500's gain of 2.24% in that time.
Wall Street will be looking for positivity from ARC as it approaches its next earnings report date. This is expected to be November 7, 2018. In that report, analysts expect ARC to post earnings of $0.01 per share. This would mark no growth from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $97.27 million, up 0.84% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.14 per share and revenue of $396.62 million. These totals would mark changes of -6.67% and +0.52%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for ARC. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ARC currently has a Zacks Rank of #2 (Buy).
Digging into valuation, ARC currently has a Forward P/E ratio of 22.14. This represents a premium compared to its industry's average Forward P/E of 17.95.
The Commercial Printing industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 72, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.