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American Superconductor (AMSC) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research

American Superconductor (AMSC) closed the most recent trading day at $7.58, moving -0.52% from the previous trading session. This change lagged the S&P 500's daily gain of 0.19%. Meanwhile, the Dow gained 0.31%, and the Nasdaq, a tech-heavy index, added 0.08%.

Coming into today, shares of the wind turbine component maker had lost 1.04% in the past month. In that same time, the Computer and Technology sector gained 6.59%, while the S&P 500 gained 3.72%.

AMSC will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of -$0.30, down 172.73% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $15.40 million, up 8.99% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.93 per share and revenue of $59.30 million. These totals would mark changes of -45.31% and +5.5%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for AMSC. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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.

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 past month, the Zacks Consensus EPS estimate remained stagnant. AMSC currently has a Zacks Rank of #3 (Hold).

The Electronics - Miscellaneous Components industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 207, which puts it in the bottom 19% 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.

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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