Consolidated Water (CWCO) ended the recent trading session at $29.83, demonstrating a -1.03% change from the preceding day's closing price. The stock's change was less than the S&P 500's daily gain of 0.52%. On the other hand, the Dow registered a gain of 1%, and the technology-centric Nasdaq increased by 0.52%.
Heading into today, shares of the developer and operator of desalination plants had gained 10.93% over the past month, outpacing the Utilities sector's gain of 0.49% and the S&P 500's gain of 5.95%.
Market participants will be closely following the financial results of Consolidated Water in its upcoming release. The company's upcoming EPS is projected at $0.2, signifying a 23.08% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $32.69 million, up 0.65% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.9 per share and revenue of $132.23 million, which would represent changes of -19.64% and -1.3%, respectively, from the prior year.
Any recent changes to analyst estimates for Consolidated Water should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.73% decrease. Currently, Consolidated Water is carrying a Zacks Rank of #3 (Hold).
Looking at valuation, Consolidated Water is presently trading at a Forward P/E ratio of 33.37. This signifies a premium in comparison to the average Forward P/E of 21.55 for its industry.
The Utility - Water Supply industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 30, positioning it in the top 13% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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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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