EnerSys (ENS) Stock Sinks As Market Gains: Here's Why
The latest trading session saw EnerSys (ENS) ending at $102.97, denoting a -0.51% adjustment from its last day's close. This change lagged the S&P 500's 0.04% gain on the day. Meanwhile, the Dow gained 0.14%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Shares of the maker of industrial batteries have appreciated by 17.21% over the course of the past month, outperforming the Industrial Products sector's gain of 10.92% and the S&P 500's gain of 5.28%.
The investment community will be closely monitoring the performance of EnerSys in its forthcoming earnings report. The company's upcoming EPS is projected at $2.32, signifying an 82.68% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $896.77 million, down 2.55% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $8.23 per share and a revenue of $3.66 billion, signifying shifts of +54.12% and -1.19%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for EnerSys. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 8.29% higher. At present, EnerSys boasts a Zacks Rank of #3 (Hold).
Looking at valuation, EnerSys is presently trading at a Forward P/E ratio of 12.58. This expresses a discount compared to the average Forward P/E of 24.19 of its industry.
Meanwhile, ENS's PEG ratio is currently 0.9. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Manufacturing - Electronics industry held an average PEG ratio of 2.21.
The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 19, which puts it in the top 8% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Enersys (ENS) : Free Stock Analysis Report
