Plexus (PLXS) Gains But Lags Market: What You Should Know
Plexus (PLXS) closed at $103.15 in the latest trading session, marking a +1.02% move from the prior day. This change lagged the S&P 500's 1.75% gain on the day. Meanwhile, the Dow gained 1.05%, and the Nasdaq, a tech-heavy index, added 7.84%.
Prior to today's trading, shares of the electronic manufacturing services company had lost 7.36% over the past month. This has lagged the Computer and Technology sector's loss of 7.05% and the S&P 500's loss of 4.4% in that time.
Investors will be hoping for strength from Plexus as it approaches its next earnings release. In that report, analysts expect Plexus to post earnings of $1.47 per share. This would mark year-over-year growth of 67.05%. Our most recent consensus estimate is calling for quarterly revenue of $1.11 billion, up 35.39% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.98 per share and revenue of $4.49 billion, which would represent changes of +21.54% and +17.75%, respectively, from the prior year.
Any recent changes to analyst estimates for Plexus 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.
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.
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. Plexus is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Plexus has a Forward P/E ratio of 17.08 right now. For comparison, its industry has an average Forward P/E of 9.99, which means Plexus is trading at a premium to the group.
The Electronics - Manufacturing Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 4, putting 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.
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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Plexus Corp. (PLXS) : Free Stock Analysis Report
