In the latest market close, Archrock Inc. (AROC) reached $25.65, with a +1.91% movement compared to the previous day. This change outpaced the S&P 500's 0.53% loss on the day. At the same time, the Dow lost 0.26%, and the tech-heavy Nasdaq lost 0.83%.
Shares of the natural gas compression services business have appreciated by 5.58% over the course of the past month, outperforming the Oils-Energy sector's gain of 2.48% and the S&P 500's gain of 5.17%.
Market participants will be closely following the financial results of Archrock Inc. in its upcoming release. In that report, analysts expect Archrock Inc. to post earnings of $0.38 per share. This would mark year-over-year growth of 52%. Simultaneously, our latest consensus estimate expects the revenue to be $360.26 million, showing a 33.17% escalation compared to the year-ago quarter.
AROC's full-year Zacks Consensus Estimates are calling for earnings of $1.62 per share and revenue of $1.47 billion. These results would represent year-over-year changes of +54.29% and +27.02%, respectively.
It is also important to note the recent changes to analyst estimates for Archrock Inc. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team 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 varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.01% lower. At present, Archrock Inc. boasts a Zacks Rank of #3 (Hold).
Investors should also note Archrock Inc.'s current valuation metrics, including its Forward P/E ratio of 15.51. This indicates a premium in contrast to its industry's Forward P/E of 15.32.
Investors should also note that AROC has a PEG ratio of 1.29 right now. 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. The Oil and Gas - Field Services was holding an average PEG ratio of 3.26 at yesterday's closing price.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 169, positioning it in the bottom 32% of all 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Archrock, Inc. (AROC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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