Beazer Homes (BZH) Stock Drops Despite Market Gains: Important Facts to Note
Beazer Homes (BZH) closed the latest trading day at $23.27, indicating a -0.51% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 1.06%. Elsewhere, the Dow gained 0.93%, while the tech-heavy Nasdaq added 1.2%.
Coming into today, shares of the homebuilder had lost 9.52% in the past month. In that same time, the Construction sector lost 4.72%, while the S&P 500 lost 3%.
The investment community will be closely monitoring the performance of Beazer Homes in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $1.39, reflecting a 50.71% decrease from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $627.94 million, showing a 24.13% drop compared to the year-ago quarter.
Investors should also take note of any recent adjustments to analyst estimates for Beazer Homes. 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 reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Beazer Homes possesses a Zacks Rank of #3 (Hold).
Looking at valuation, Beazer Homes is presently trading at a Forward P/E ratio of 4.49. This expresses a discount compared to the average Forward P/E of 7.23 of its industry.
The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 66, putting it in the top 27% 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.
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Beazer Homes USA, Inc. (BZH) : Free Stock Analysis Report
