Canadian Solar (CSIQ) Stock Sinks As Market Gains: What You Should Know
Canadian Solar (CSIQ) closed the most recent trading day at $41.90, moving -0.31% from the previous trading session. This change lagged the S&P 500's 1.47% gain on the day. Meanwhile, the Dow lost 0.11%, and the Nasdaq, a tech-heavy index, added 7.94%.
Prior to today's trading, shares of the solar wafers manufacturer had gained 30.57% over the past month. This has outpaced the Oils-Energy sector's gain of 1.59% and the S&P 500's gain of 7.41% in that time.
Canadian Solar will be looking to display strength as it nears its next earnings release. On that day, Canadian Solar is projected to report earnings of $0.33 per share, which would represent year-over-year growth of 94.12%. Our most recent consensus estimate is calling for quarterly revenue of $1.84 billion, up 20.57% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Canadian Solar. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Canadian Solar is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Canadian Solar's current valuation metrics, including its Forward P/E ratio of 7.4. Its industry sports an average Forward P/E of 37.53, so we one might conclude that Canadian Solar is trading at a discount comparatively.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 49, putting it in the top 20% 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.
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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