American Woodmark (AMWD) Registers a Bigger Fall Than the Market: Important Facts to Note
American Woodmark (AMWD) closed at $67.83 in the latest trading session, marking a -1.65% move from the prior day. This change lagged the S&P 500's daily loss of 1.26%. Elsewhere, the Dow lost 0.86%, while the tech-heavy Nasdaq lost 1.54%.
The cabinet maker's stock has dropped by 6.12% in the past month, falling short of the Consumer Discretionary sector's loss of 5.14% and the S&P 500's loss of 3.67%.
The upcoming earnings release of American Woodmark will be of great interest to investors. It is anticipated that the company will report an EPS of $1.77, marking a 20.98% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $454.52 million, indicating a 19.05% downward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.99 per share and revenue of $1.81 billion, indicating changes of +4.86% and -12.22%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for American Woodmark. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. Over the past month, there's been a 13.33% rise in the Zacks Consensus EPS estimate. American Woodmark presently features a Zacks Rank of #1 (Strong Buy).
With respect to valuation, American Woodmark is currently being traded at a Forward P/E ratio of 8.63. This signifies a discount in comparison to the average Forward P/E of 14.39 for its industry.
Meanwhile, AMWD's PEG ratio is currently 0.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Furniture industry currently had an average PEG ratio of 0.98 as of yesterday's close.
The Furniture industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 50, positioning it in the top 20% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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American Woodmark Corporation (AMWD) : Free Stock Analysis Report
