In the latest close session, Comfort Systems (FIX) was down 1.44% at $933.29. The stock's performance was behind the S&P 500's daily loss of 0.74%. On the other hand, the Dow registered a loss of 0.63%, and the technology-centric Nasdaq decreased by 0.76%.
The heating, ventilation and air conditioning company's stock has climbed by 1.19% in the past month, exceeding the Construction sector's loss of 2.42% and the S&P 500's gain of 0.79%.
Market participants will be closely following the financial results of Comfort Systems in its upcoming release. The company's earnings per share (EPS) are projected to be $6.77, reflecting a 65.53% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $2.28 billion, indicating a 22.29% growth compared to the corresponding quarter of the prior year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $26.31 per share and revenue of $8.74 billion, indicating changes of +80.21% and +24.36%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Comfort Systems. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 past month, the Zacks Consensus EPS estimate has remained steady. Right now, Comfort Systems possesses a Zacks Rank of #3 (Hold).
Looking at valuation, Comfort Systems is presently trading at a Forward P/E ratio of 36. This expresses a premium compared to the average Forward P/E of 25.84 of its industry.
The Building Products - Air Conditioner and Heating industry is part of the Construction sector. Currently, this industry holds a Zacks Industry Rank of 205, positioning it in the bottom 18% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Comfort Systems USA, Inc. (FIX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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