In the latest trading session, Canadian Solar (CSIQ - Free Report) closed at $17.66, marking a +0.23% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.02%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 0.21%.
Coming into today, shares of the solar wafers manufacturer had gained 4.57% in the past month. In that same time, the Oils-Energy sector gained 1.97%, while the S&P 500 lost 1.4%.
CSIQ will be looking to display strength as it nears its next earnings release, which is expected to be March 18, 2019. The company is expected to report EPS of $0.59, down 41.58% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $728.65 million, down 34.28% from the year-ago period.
Investors might also notice recent changes to analyst estimates for CSIQ. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 7.89% higher within the past month. CSIQ is currently a Zacks Rank #1 (Strong Buy).
In terms of valuation, CSIQ is currently trading at a Forward P/E ratio of 7.33. This valuation marks a discount compared to its industry's average Forward P/E of 12.79.
Also, we should mention that CSIQ has a PEG ratio of 0.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Solar industry currently had an average PEG ratio of 0.71 as of yesterday's close.
The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 18, which puts it in the top 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.