Boise Cascade (BCC) Gains As Market Dips: What You Should Know
Boise Cascade (BCC) closed the most recent trading day at $69.33, moving +0.43% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.14%. Elsewhere, the Dow lost 0.45%, while the tech-heavy Nasdaq lost 0.02%.
Prior to today's trading, shares of the engineered wood products and plywood company had gained 3.37% over the past month. This has outpaced the Construction sector's loss of 4.97% and the S&P 500's loss of 0.13% in that time.
Investors will be hoping for strength from Boise Cascade as it approaches its next earnings release. On that day, Boise Cascade is projected to report earnings of $2.18 per share, which would represent year-over-year growth of 23.86%.
It is also important to note the recent changes to analyst estimates for Boise Cascade. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.9% higher within the past month. Boise Cascade currently has a Zacks Rank of #3 (Hold).
Investors should also note Boise Cascade's current valuation metrics, including its Forward P/E ratio of 8.25. This represents a discount compared to its industry's average Forward P/E of 16.56.
It is also worth noting that BCC currently has a PEG ratio of 3.6. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Building Products - Wood industry currently had an average PEG ratio of 2.52 as of yesterday's close.
The Building Products - Wood industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 72, which puts it in the top 29% 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.
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