Amtek (AME - Free Report) closed at $84.79 in the latest trading session, marking a +0.89% move from the prior day. This change outpaced the S&P 500's 0% on the day. Elsewhere, the Dow lost 0.05%, while the tech-heavy Nasdaq lost 0.21%.
Prior to today's trading, shares of the maker of electronic instruments and electromechanical devices had gained 3.64% over the past month. This has lagged the Computer and Technology sector's gain of 7.39% and the S&P 500's gain of 5.49% in that time.
AME will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.97, up 24.36% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.27 billion, up 8.63% from the year-ago period.
AME's full-year Zacks Consensus Estimates are calling for earnings of $4.04 per share and revenue of $5.24 billion. These results would represent year-over-year changes of +22.8% and +8.07%, respectively.
Any recent changes to analyst estimates for AME should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 0.05% higher within the past month. AME is holding a Zacks Rank of #2 (Buy) right now.
Investors should also note AME's current valuation metrics, including its Forward P/E ratio of 20.81. For comparison, its industry has an average Forward P/E of 24.3, which means AME is trading at a discount to the group.
Meanwhile, AME's PEG ratio is currently 2.17. 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 Electronics - Testing Equipment industry currently had an average PEG ratio of 2.13 as of yesterday's close.
The Electronics - Testing Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 97, putting it in the top 39% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.