Plexus (PLXS) Gains As Market Dips: What You Should Know
Plexus (PLXS) closed at $107.13 in the latest trading session, marking a +0.12% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.19%. Elsewhere, the Dow gained 0.01%, while the tech-heavy Nasdaq lost 0.09%.
Prior to today's trading, shares of the electronic manufacturing services company had gained 3.9% over the past month. This has lagged the Computer and Technology sector's gain of 8.91% and the S&P 500's gain of 4.7% in that time.
Plexus will be looking to display strength as it nears 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.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.98 per share and revenue of $4.49 billion. These totals would mark changes of +21.54% and +17.75%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Plexus. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Plexus is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Plexus is holding a Forward P/E ratio of 17.89. For comparison, its industry has an average Forward P/E of 11.43, 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 3, 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Plexus Corp. (PLXS) : Free Stock Analysis Report
