TimkenSteel (TMST) Stock Sinks As Market Gains: What You Should Know
TimkenSteel (TMST) closed at $17.35 in the latest trading session, marking a -0.4% move from the prior day. This change lagged the S&P 500's 1.92% gain on the day. At the same time, the Dow added 2.15%, and the tech-heavy Nasdaq gained 0.16%.
Prior to today's trading, shares of the maker of steel large bars and seamless mechanical tubing had lost 10.35% over the past month. This has was narrower than the Basic Materials sector's loss of 20.12% and lagged the S&P 500's gain of 1.54% in that time.
Investors will be hoping for strength from TimkenSteel as it approaches its next earnings release. In that report, analysts expect TimkenSteel to post earnings of $1.31 per share. This would mark year-over-year growth of 36.46%. Our most recent consensus estimate is calling for quarterly revenue of $411.35 million, up 25.68% from the year-ago period.
TMST's full-year Zacks Consensus Estimates are calling for earnings of $4.15 per share and revenue of $1.52 billion. These results would represent year-over-year changes of +29.28% and +18.55%, respectively.
Investors should also note any recent changes to analyst estimates for TimkenSteel. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. TimkenSteel is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, TimkenSteel currently has a Forward P/E ratio of 4.2. This represents a premium compared to its industry's average Forward P/E of 2.73.
The Steel - Producers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 165, which puts it in the bottom 35% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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