In the latest trading session, American Axle & Manufacturing (AXL) closed at $9.76, marking a +1.14% move from the previous day. This change outpaced the S&P 500's 0.82% gain on the day.
Coming into today, shares of the maker of auto parts had gained 0.84% in the past month. In that same time, the Auto-Tires-Trucks sector lost 3.42%, while the S&P 500 gained 2.31%.
AXL will be looking to display strength as it nears its next earnings release, which is expected to be May 7, 2021. In that report, analysts expect AXL to post earnings of $0.25 per share. This would mark year-over-year growth of 25%. Meanwhile, our latest consensus estimate is calling for revenue of $1.31 billion, down 2.32% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.22 per share and revenue of $5.41 billion, which would represent changes of +771.43% and +14.86%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for AXL. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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 past month, the Zacks Consensus EPS estimate has moved 8.94% lower. AXL is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note AXL's current valuation metrics, including its Forward P/E ratio of 7.9. This valuation marks a discount compared to its industry's average Forward P/E of 15.19.
Meanwhile, AXL's PEG ratio is currently 0.98. 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. AXL's industry had an average PEG ratio of 1.09 as of yesterday's close.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 189, which puts it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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American Axle & Manufacturing Holdings, Inc. (AXL) : Free Stock Analysis Report
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