Canadian Solar (CSIQ) closed at $23.15 in the latest trading session, marking a -1.07% move from the prior day. This move lagged the S&P 500's daily loss of 0.94%. At the same time, the Dow added 0.04%, and the tech-heavy Nasdaq lost 2.13%.
Coming into today, shares of the solar wafers manufacturer had gained 38.05% in the past month. In that same time, the Oils-Energy sector lost 11.14%, while the S&P 500 gained 0.02%.
Wall Street will be looking for positivity from CSIQ as it approaches its next earnings report date. In that report, analysts expect CSIQ to post earnings of -$0.01 per share. This would mark a year-over-year decline of 101.3%. Meanwhile, our latest consensus estimate is calling for revenue of $652.24 million, down 37.06% from the prior-year quarter.
CSIQ's full-year Zacks Consensus Estimates are calling for earnings of $2.69 per share and revenue of $3.26 billion. These results would represent year-over-year changes of +22.83% and +1.97%, respectively.
Any recent changes to analyst estimates for CSIQ should also be noted by investors. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. CSIQ is currently a Zacks Rank #1 (Strong Buy).
Digging into valuation, CSIQ currently has a Forward P/E ratio of 8.7. For comparison, its industry has an average Forward P/E of 31.55, which means CSIQ is trading at a discount to the group.
Investors should also note that CSIQ has a PEG ratio of 0.27 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Solar stocks are, on average, holding a PEG ratio of 1.72 based on yesterday's closing prices.
The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report
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