Powell Industries (POWL) closed at $338.32 in the latest trading session, marking a +2.6% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.63%. Elsewhere, the Dow lost 0.65%, while the tech-heavy Nasdaq lost 0.47%.
The energy equipment company's shares have seen an increase of 13.19% over the last month, surpassing the Industrial Products sector's gain of 0.99% and the S&P 500's gain of 0.92%.
The investment community will be paying close attention to the earnings performance of Powell Industries in its upcoming release. It is anticipated that the company will report an EPS of $3.76, marking a 0.27% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $292.85 million, indicating a 6.47% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $14.39 per share and a revenue of $1.1 billion, representing changes of +17.09% and 0%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Powell Industries. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.27% higher. Powell Industries currently has a Zacks Rank of #2 (Buy).
With respect to valuation, Powell Industries is currently being traded at a Forward P/E ratio of 22.07. This expresses a discount compared to the average Forward P/E of 24.68 of its industry.
It's also important to note that POWL currently trades at a PEG ratio of 1.58. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Manufacturing - Electronics stocks are, on average, holding a PEG ratio of 1.95 based on yesterday's closing prices.
The Manufacturing - Electronics industry is part of the Industrial Products sector. At present, this industry carries a Zacks Industry Rank of 62, placing it within the top 26% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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.
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Powell Industries, Inc. (POWL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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