H&E Equipment (HEES) Dips More Than Broader Markets: What You Should Know
In the latest trading session, H&E Equipment (HEES) closed at $42.89, marking a -0.53% move from the previous day. This move lagged the S&P 500's daily loss of 0.16%. Meanwhile, the Dow lost 0.12%, and the Nasdaq, a tech-heavy index, lost 3.64%.
Heading into today, shares of the construction and industrial equipment service provider had lost 19.76% over the past month, lagging the Industrial Products sector's loss of 5.06% and the S&P 500's gain of 0.07% in that time.
Investors will be hoping for strength from H&E Equipment as it approaches its next earnings release. On that day, H&E Equipment is projected to report earnings of $0.60 per share, which would represent year-over-year growth of 33.33%. Meanwhile, our latest consensus estimate is calling for revenue of $304.03 million, up 11.59% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.99 per share and revenue of $1.36 billion, which would represent changes of +7.84% and +9.56%, respectively, from the prior year.
Any recent changes to analyst estimates for H&E Equipment 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
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. The Zacks Consensus EPS estimate remained stagnant within the past month. H&E Equipment currently has a Zacks Rank of #3 (Hold).
In terms of valuation, H&E Equipment is currently trading at a Forward P/E ratio of 10.81. For comparison, its industry has an average Forward P/E of 12.36, which means H&E Equipment is trading at a discount to the group.
Meanwhile, HEES's PEG ratio is currently 1.08. 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. Manufacturing - Construction and Mining stocks are, on average, holding a PEG ratio of 0.99 based on yesterday's closing prices.
The Manufacturing - Construction and Mining industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 16, which puts it in the top 7% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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H&E Equipment Services, Inc. (HEES) : Free Stock Analysis Report
