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Badger Meter (BMI) closed at $216.87 in the latest trading session, marking a -0.39% move from the prior day. This change lagged the S&P 500's daily gain of 0.73%. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq increased by 0.98%.
The manufacturer of products that measure gas and water flow's stock has dropped by 1.48% in the past month, falling short of the Computer and Technology sector's gain of 3.28% and the S&P 500's gain of 0.34%.
Investors will be eagerly watching for the performance of Badger Meter in its upcoming earnings disclosure. In that report, analysts expect Badger Meter to post earnings of $1 per share. This would mark year-over-year growth of 19.05%. Alongside, our most recent consensus estimate is anticipating revenue of $198.92 million, indicating a 9.04% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $4.19 per share and revenue of $820.32 million, which would represent changes of +33.44% and +16.59%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Badger Meter. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, Badger Meter holds a Zacks Rank of #2 (Buy).
Digging into valuation, Badger Meter currently has a Forward P/E ratio of 51.98. This indicates a premium in contrast to its industry's Forward P/E of 23.13.
Investors should also note that BMI has a PEG ratio of 2.73 right now. 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 Instruments - Control was holding an average PEG ratio of 2.73 at yesterday's closing price.
The Instruments - Control industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 215, finds itself in the bottom 15% echelons of all 250+ industries.