Belden (BDC) Stock Sinks As Market Gains: What You Should Know
Belden (BDC) closed at $95.30 in the latest trading session, marking a -0.71% move from the prior day. This move lagged the S&P 500's daily gain of 0.08%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq lost 0.61%.
Heading into today, shares of the communications equipment company had gained 15.65% over the past month, outpacing the Industrial Products sector's gain of 8.46% and the S&P 500's gain of 6.1% in that time.
Belden will be looking to display strength as it nears its next earnings release. On that day, Belden is projected to report earnings of $1.75 per share, which would represent year-over-year growth of 9.38%. Our most recent consensus estimate is calling for quarterly revenue of $683 million, up 2.47% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.11 per share and revenue of $2.73 billion. These totals would mark changes of +10.92% and +4.89%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Belden. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Belden is currently sporting a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Belden has a Forward P/E ratio of 13.5 right now. For comparison, its industry has an average Forward P/E of 8.12, which means Belden is trading at a premium to the group.
The Wire and Cable Products industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 5, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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
Belden Inc (BDC) : Free Stock Analysis Report
