Arcosa (ACA) closed the most recent trading day at $45.60, moving +1.88% from the previous trading session. This change outpaced the S&P 500's 0.38% loss on the day. Elsewhere, the Dow lost 0.44%, while the tech-heavy Nasdaq lost 0.67%.
Heading into today, shares of the provider of infrastructure-related products and services had lost 1.52% over the past month, lagging the Construction sector's gain of 1.02% and the S&P 500's gain of 1.91% in that time.
Wall Street will be looking for positivity from ACA as it approaches its next earnings report date. This is expected to be February 26, 2020. On that day, ACA is projected to report earnings of $0.34 per share, which would represent a year-over-year decline of 15%. Our most recent consensus estimate is calling for quarterly revenue of $485 million, up 29.54% from the year-ago period.
Investors might also notice recent changes to analyst estimates for ACA. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. ACA is currently a Zacks Rank #3 (Hold).
In terms of valuation, ACA is currently trading at a Forward P/E ratio of 17.15. This valuation marks a discount compared to its industry's average Forward P/E of 18.16.
It is also worth noting that ACA currently has a PEG ratio of 1.36. 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. ACA's industry had an average PEG ratio of 1.36 as of yesterday's close.
The Building Products - Miscellaneous industry is part of the Construction sector. This group has a Zacks Industry Rank of 59, putting it in the top 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.
To follow ACA in the coming trading sessions, be sure to utilize Zacks.com.