Arc Logistics Partners LP (NYSE:ARCX) is predicted to grow its earnings per share by a robust double-digit 34.78% over the next 12 months. With the recent EPS being $0.608, expected growth will push the upcoming EPS to $0.819. To determine whether this growth rate expectation is justified, we should take a look at how the company has been performing in the past. Check out our latest analysis for Arc Logistics Partners
How is Arc Logistics Partners going to perform in the future?
ARCX is covered by 4 analysts who by consensus are expecting positive earnings, estimated to rise from current levels of $0.608 to $0.819 next year. This indicates a relatively solid earnings per share growth rate of 34.78% over the next 1-2 years, which is an optimistic outlook in the near term. In the same period we should see the revenue grow from $106M $109M
Is the growth built on solid basis?
The past can be a great indicator for future performance for a stock. We can determine whether this level of expected growth is highly excessive or whether the company has consistently exhibited strength. ARCX’s earnings growth last year was a low rate of 6.14%, indicating a relatively more optimistic future painted for the company in the future. This belief may be supported by turnaround initiatives or previous investments coming to fruition.
For ARCX, there are three relevant factors you should further research:
1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
2. Valuation: What is ARCX worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether ARCX is currently mispriced by the market.
3. Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of ARCX? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.