In the latest close session, Blue Bird (BLBD) was up +1.18% at $49.00. This move outpaced the S&P 500's daily gain of 0.16%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq added 0.26%.
Prior to today's trading, shares of the school bus maker had lost 3.83% lagged the Auto-Tires-Trucks sector's gain of 2.59% and the S&P 500's gain of 1.89%.
The investment community will be closely monitoring the performance of Blue Bird in its forthcoming earnings report. The company is forecasted to report an EPS of $0.8, showcasing a 13.04% downward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $350 million, indicating a 11.51% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.21 per share and a revenue of $1.57 billion, indicating changes of -3.88% and +5.74%, respectively, from the former year.
Any recent changes to analyst estimates for Blue Bird should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 witnessed an unchanged state. Blue Bird is currently a Zacks Rank #2 (Buy).
In terms of valuation, Blue Bird is presently being traded at a Forward P/E ratio of 11.5. This valuation marks a discount compared to its industry average Forward P/E of 14.55.
Investors should also note that BLBD has a PEG ratio of 2.21 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Automotive - Domestic industry had an average PEG ratio of 2.01 as trading concluded yesterday.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 95, placing it within the top 39% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Blue Bird Corporation (BLBD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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