Gladstone Capital (GLAD) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Gladstone Capital (GLAD) closed at $9.47, marking a +1.94% move from the previous day. This move outpaced the S&P 500's daily gain of 1.49%. Meanwhile, the Dow gained 1.6%, and the Nasdaq, a tech-heavy index, added 0.06%.
Prior to today's trading, shares of the real estate investment trust had lost 10.5% over the past month. This has lagged the Finance sector's loss of 3.29% and the S&P 500's loss of 3.49% in that time.
Gladstone Capital will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.23, down 14.81% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.76 million, up 16.02% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.96 per share and revenue of $78.21 million. These totals would mark changes of +2.13% and +23.85%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Gladstone Capital. These revisions help to show the ever-changing nature of 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.
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 has moved 2.67% higher. Gladstone Capital currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Gladstone Capital is holding a Forward P/E ratio of 9.65. For comparison, its industry has an average Forward P/E of 8.18, which means Gladstone Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 4, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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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