Beazer Homes (BZH) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Beazer Homes (BZH) closed at $24.86, marking a -0.2% move from the previous day. This change lagged the S&P 500's 0.01% gain on the day. At the same time, the Dow lost 0.22%, and the tech-heavy Nasdaq gained 0.67%.
Coming into today, shares of the homebuilder had lost 15.99% in the past month. In that same time, the Construction sector lost 6.73%, while the S&P 500 lost 4.45%.
Wall Street will be looking for positivity from Beazer Homes as it approaches its next earnings report date. On that day, Beazer Homes is projected to report earnings of $1.39 per share, which would represent a year-over-year decline of 50.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $627.94 million, down 24.13% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Beazer Homes. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. Beazer Homes is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Beazer Homes is holding a Forward P/E ratio of 5.25. This valuation marks a discount compared to its industry's average Forward P/E of 8.1.
The Building Products - Home Builders industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 17, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BZH in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Beazer Homes USA, Inc. (BZH) : Free Stock Analysis Report
