In the latest trading session, Vail Resorts (MTN) closed at $237.18, marking a -1.54% move from the previous day. This move lagged the S&P 500's daily loss of 0.66%. Elsewhere, the Dow lost 1.01%, while the tech-heavy Nasdaq lost 0.55%.
Prior to today's trading, shares of the ski resort operator had gained 1.52% over the past month. This has lagged the Consumer Discretionary sector's gain of 3.75% and the S&P 500's gain of 1.77% in that time.
Investors will be hoping for strength from MTN as it approaches its next earnings release, which is expected to be December 9, 2019. The company is expected to report EPS of -$2.99, down 23.05% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $259.06 million, up 17.75% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.94 per share and revenue of $2.53 billion. These totals would mark changes of +5.17% and +11.57%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for MTN. 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.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. MTN is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that MTN has a Forward P/E ratio of 30.35 right now. Its industry sports an average Forward P/E of 18.6, so we one might conclude that MTN is trading at a premium comparatively.
Meanwhile, MTN's PEG ratio is currently 2.02. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Leisure and Recreation Services industry currently had an average PEG ratio of 1.64 as of yesterday's close.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 218, which puts it in the bottom 15% 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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