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The latest trading session saw Allegheny Technologies (ATI) ending at $55.58, denoting a +0.11% adjustment from its last day's close. The stock lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq lost 0.06%.
The the stock of maker of steel and specialty metals has fallen by 2.97% in the past month, leading the Basic Materials sector's loss of 9.84% and undershooting the S&P 500's loss of 2.7%.
The investment community will be paying close attention to the earnings performance of Allegheny Technologies in its upcoming release. The company is slated to reveal its earnings on February 4, 2025. The company is expected to report EPS of $0.60, down 6.25% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.08 billion, up 1.83% from the prior-year quarter.
Investors should also pay attention to any latest changes in analyst estimates for Allegheny Technologies. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Allegheny Technologies is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, Allegheny Technologies is currently exchanging hands at a Forward P/E ratio of 19.31. Its industry sports an average Forward P/E of 13.81, so one might conclude that Allegheny Technologies is trading at a premium comparatively.
Meanwhile, ATI's PEG ratio is currently 1.49. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Steel - Speciality industry currently had an average PEG ratio of 0.92 as of yesterday's close.
The Steel - Speciality industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 13, this industry ranks in the top 6% of all industries, numbering over 250.