In the latest trading session, Meritor (MTOR - Free Report) closed at $23.66, marking a +1.41% move from the previous day. This change outpaced the S&P 500's 0.62% loss on the day. Elsewhere, the Dow lost 0.25%, while the tech-heavy Nasdaq lost 0.74%.
Coming into today, shares of the supplier of parts for commercial vehicles and heavy equipment had lost 2.67% in the past month. In that same time, the Auto-Tires-Trucks sector gained 2.62%, while the S&P 500 gained 2.8%.
MTOR will be looking to display strength as it nears its next earnings release, which is expected to be July 31, 2019. In that report, analysts expect MTOR to post earnings of $0.95 per share. This would mark year-over-year growth of 6.74%. Our most recent consensus estimate is calling for quarterly revenue of $1.17 billion, up 3.6% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.55 per share and revenue of $4.41 billion. These totals would mark changes of +17.16% and +5.62%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for MTOR. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.25% higher within the past month. MTOR currently has a Zacks Rank of #3 (Hold).
Digging into valuation, MTOR currently has a Forward P/E ratio of 6.58. Its industry sports an average Forward P/E of 9.8, so we one might conclude that MTOR is trading at a discount comparatively.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 197, putting it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.