In the latest close session, Modine (MOD) was down 4.44% at $99.90. This move lagged the S&P 500's daily loss of 0.79%. Meanwhile, the Dow lost 0.94%, and the Nasdaq, a tech-heavy index, lost 0.92%.
The heating and cooling products maker's stock has climbed by 11.66% in the past month, exceeding the Auto-Tires-Trucks sector's loss of 2.1% and the S&P 500's gain of 5.22%.
The upcoming earnings release of Modine will be of great interest to investors. The company is forecasted to report an EPS of $0.96, showcasing a 7.69% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $651.12 million, indicating a 1.57% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $4.52 per share and a revenue of $2.74 billion, demonstrating changes of +11.6% and +6.14%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Modine. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.33% higher. Modine presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Modine is currently being traded at a Forward P/E ratio of 23.13. This indicates a premium in contrast to its industry's Forward P/E of 12.83.
We can also see that MOD currently has a PEG ratio of 0.68. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Automotive - Original Equipment stocks are, on average, holding a PEG ratio of 1.12 based on yesterday's closing prices.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. With its current Zacks Industry Rank of 142, this industry ranks in the bottom 43% of all industries, numbering over 250.
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.
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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Modine Manufacturing Company (MOD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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