In the latest close session, Consolidated Water (CWCO) was down 3.79% at $34.06. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq gained 0.55%.
Shares of the developer and operator of desalination plants have appreciated by 0.34% over the course of the past month, underperforming the Utilities sector's gain of 1.43%, and the S&P 500's gain of 3.83%.
Analysts and investors alike will be keeping a close eye on the performance of Consolidated Water in its upcoming earnings disclosure. The company is expected to report EPS of $0.24, down 22.58% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $32.8 million, down 1.77% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.13 per share and a revenue of $133.33 million, representing changes of +0.89% and -0.48%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Consolidated Water. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.19% higher within the past month. As of now, Consolidated Water holds a Zacks Rank of #2 (Buy).
In terms of valuation, Consolidated Water is currently trading at a Forward P/E ratio of 31.24. This represents a premium compared to its industry average Forward P/E of 22.99.
The Utility - Water Supply industry is part of the Utilities sector. At present, this industry carries a Zacks Industry Rank of 38, placing it within the top 16% of over 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Consolidated Water Co. Ltd. (CWCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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