Archrock Inc. (AROC) closed the most recent trading day at $23.35, moving -1.81% from the previous trading session. This change lagged the S&P 500's daily loss of 0.4%. Elsewhere, the Dow saw a downswing of 0.98%, while the tech-heavy Nasdaq appreciated by 0.18%.
The stock of natural gas compression services business has fallen by 3.18% in the past month, lagging the Oils-Energy sector's loss of 0.05% and the S&P 500's gain of 4.97%.
Analysts and investors alike will be keeping a close eye on the performance of Archrock Inc. in its upcoming earnings disclosure. On that day, Archrock Inc. is projected to report earnings of $0.37 per share, which would represent year-over-year growth of 48%. Meanwhile, our latest consensus estimate is calling for revenue of $360.26 million, up 33.17% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.55 per share and revenue of $1.47 billion. These totals would mark changes of +47.62% and +27.02%, respectively, from last year.
Any recent changes to analyst estimates for Archrock Inc. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Within the past 30 days, our consensus EPS projection has moved 4.83% lower. Archrock Inc. is holding a Zacks Rank of #4 (Sell) right now.
Investors should also note Archrock Inc.'s current valuation metrics, including its Forward P/E ratio of 15.39. This represents a premium compared to its industry average Forward P/E of 15.24.
One should further note that AROC currently holds a PEG ratio of 1.28. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Oil and Gas - Field Services industry stood at 3.51 at the close of the market yesterday.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 237, which puts it in the bottom 5% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Archrock, Inc. (AROC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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