Griffon (GFF) Outpaces Stock Market Gains: What You Should Know
Griffon (GFF) closed the most recent trading day at $40.83, moving +1.82% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.59%. Meanwhile, the Dow gained 0.35%, and the Nasdaq, a tech-heavy index, added 0.83%.
Heading into today, shares of the garage door and building products maker had lost 3.63% over the past month, lagging the Conglomerates sector's loss of 1.67% and the S&P 500's loss of 2.84% in that time.
Griffon will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.02, down 6.42% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $653 million, down 7.89% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.38 per share and revenue of $2.7 billion, which would represent changes of +7.62% and -5.32%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Griffon. Recent revisions tend to reflect the latest near-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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Over the past month, the Zacks Consensus EPS estimate has moved 5.55% higher. Griffon is currently sporting a Zacks Rank of #2 (Buy).
Digging into valuation, Griffon currently has a Forward P/E ratio of 9.17. For comparison, its industry has an average Forward P/E of 15.44, which means Griffon is trading at a discount to the group.
The Diversified Operations industry is part of the Conglomerates sector. This group has a Zacks Industry Rank of 109, putting it in the top 44% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Griffon Corporation (GFF) : Free Stock Analysis Report
