Griffon (GFF) closed at $72.91 in the latest trading session, marking a -1% move from the prior day. This change lagged the S&P 500's daily gain of 1.56%. Elsewhere, the Dow gained 1.29%, while the tech-heavy Nasdaq added 2.21%.
Shares of the garage door and building products maker have depreciated by 4.97% over the course of the past month, outperforming the Conglomerates sector's loss of 12.34%, and lagging the S&P 500's gain of 0.41%.
The investment community will be closely monitoring the performance of Griffon in its forthcoming earnings report. The company's upcoming EPS is projected at $1.56, signifying a 6.12% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $629.69 million, down 4.55% from the year-ago period.
GFF's full-year Zacks Consensus Estimates are calling for earnings of $5.67 per share and revenue of $2.49 billion. These results would represent year-over-year changes of +10.74% and 0%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Griffon. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.78% decrease. Griffon currently has a Zacks Rank of #3 (Hold).
Investors should also note Griffon's current valuation metrics, including its Forward P/E ratio of 11.64. For comparison, its industry has an average Forward P/E of 17.82, which means Griffon is trading at a discount to the group.
It is also worth noting that GFF currently has a PEG ratio of 1. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Diversified Operations industry was having an average PEG ratio of 1.71.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 93, putting it in the top 38% 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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Griffon Corporation (GFF): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
