Lifetime Brands (LCUT) Stock Sinks As Market Gains: Here's Why
Lifetime Brands (LCUT) closed the latest trading day at $5.02, indicating a -0.59% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.73%. Meanwhile, the Dow gained 0.62%, and the Nasdaq, a tech-heavy index, added 0.93%.
Heading into today, shares of the kitchen products company had lost 7.34% over the past month, lagging the Consumer Discretionary sector's loss of 1.02% and the S&P 500's loss of 2.29% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Lifetime Brands in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.25, signifying a 56.25% increase compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $178.19 million, showing a 4.5% drop compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.60 per share and a revenue of $684.97 million, indicating changes of +93.55% and -5.87%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Lifetime Brands. 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 remained stagnant. Lifetime Brands is currently sporting a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Lifetime Brands has a Forward P/E ratio of 8.42 right now. This indicates a discount in contrast to its industry's Forward P/E of 16.37.
Investors should also note that LCUT has a PEG ratio of 0.6 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Consumer Products - Discretionary industry was having an average PEG ratio of 1.16.
The Consumer Products - Discretionary industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 165, placing it within the bottom 35% of over 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Lifetime Brands, Inc. (LCUT) : Free Stock Analysis Report
