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Armour Residential REIT (ARR) Outpaces Stock Market Gains: What You Should Know

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Armour Residential REIT (ARR - Free Report) closed at $9.26 in the latest trading session, marking a +1.42% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.43%. Meanwhile, the Dow gained 0.5%, and the Nasdaq, a tech-heavy index, added 0.75%.

ARR will be looking to display strength as it nears its next earnings release.

Investors might also notice recent changes to analyst estimates for ARR. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. 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 remained stagnant within the past month. ARR is holding a Zacks Rank of #5 (Strong Sell) right now.

Digging into valuation, ARR currently has a Forward P/E ratio of 6.48. This valuation marks a discount compared to its industry's average Forward P/E of 8.74.

The REIT and Equity Trust industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 138, which puts it in the bottom 46% 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.


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