The most recent trading session ended with Core & Main (CNM) standing at $52.53, reflecting a +0.23% shift from the previouse trading day's closing. This move lagged the S&P 500's daily gain of 0.74%. Meanwhile, the Dow experienced a rise of 0.05%, and the technology-dominated Nasdaq saw an increase of 1.26%.
Prior to today's trading, shares of the distributor of water and fire protection products had gained 4.97% over the past month. This has outpaced the Industrial Products sector's loss of 6.87% and the S&P 500's loss of 4.77% in that time.
Investors will be eagerly watching for the performance of Core & Main in its upcoming earnings disclosure. In that report, analysts expect Core & Main to post earnings of $0.52 per share. This would mark year-over-year growth of 6.12%. At the same time, our most recent consensus estimate is projecting a revenue of $1.83 billion, reflecting a 5.25% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.43 per share and revenue of $7.71 billion, indicating changes of +14.08% and +3.66%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Core & Main. 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 company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 moved 1.39% higher. Core & Main is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Core & Main is holding a Forward P/E ratio of 21.57. This denotes a premium relative to the industry's average Forward P/E of 17.39.
We can additionally observe that CNM currently boasts a PEG ratio of 1.98. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Manufacturing - Tools & Related Products industry held an average PEG ratio of 1.34.
The Manufacturing - Tools & Related Products industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
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Core & Main, Inc. (CNM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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