Armour Residential REIT (ARR) Stock Drops Despite Market Gains: Important Facts to Note
The latest trading session saw Armour Residential REIT (ARR) ending at $19.82, denoting a -0.5% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.04%. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq lost 0.03%.
Shares of the real estate investment trust have appreciated by 12.67% over the course of the past month, outperforming the Finance sector's gain of 8.22% and the S&P 500's gain of 5.28%.
Analysts and investors alike will be keeping a close eye on the performance of Armour Residential REIT in its upcoming earnings disclosure. On that day, Armour Residential REIT is projected to report earnings of $0.90 per share, which would represent a year-over-year decline of 33.33%. Alongside, our most recent consensus estimate is anticipating revenue of $38.2 million, indicating a 131.37% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.54 per share and revenue of $59.55 million, indicating changes of -21.72% and -44.68%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Armour Residential REIT. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Currently, Armour Residential REIT is carrying a Zacks Rank of #5 (Strong Sell).
With respect to valuation, Armour Residential REIT is currently being traded at a Forward P/E ratio of 4.39. This indicates a discount in contrast to its industry's Forward P/E of 7.8.
The REIT and Equity Trust industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 189, finds itself in the bottom 25% echelons of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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ARMOUR Residential REIT, Inc. (ARR) : Free Stock Analysis Report
