Consolidated Water (CWCO) Rises As Market Takes a Dip: Key Facts
The most recent trading session ended with Consolidated Water (CWCO) standing at $28.45, reflecting a +0.67% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a loss of 0.16% for the day. Meanwhile, the Dow lost 0.14%, and the Nasdaq, a tech-heavy index, lost 0.06%.
Prior to today's trading, shares of the developer and operator of desalination plants had gained 11.79% over the past month. This has outpaced the Utilities sector's gain of 0.93% and the S&P 500's gain of 1.96% in that time.
Market participants will be closely following the financial results of Consolidated Water in its upcoming release. The company's earnings per share (EPS) are projected to be $0.34, reflecting a 27.66% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $36.94 million, indicating a 16.49% decline compared to the corresponding quarter of the prior year.
CWCO's full-year Zacks Consensus Estimates are calling for earnings of $1.34 per share and revenue of $144.05 million. These results would represent year-over-year changes of -30.57% and -20.07%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Consolidated Water. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 last 30 days, the Zacks Consensus EPS estimate has moved 0.25% higher. Consolidated Water is currently sporting a Zacks Rank of #2 (Buy).
With respect to valuation, Consolidated Water is currently being traded at a Forward P/E ratio of 21.14. This expresses a discount compared to the average Forward P/E of 21.59 of its industry.
Investors should also note that CWCO has a PEG ratio of 2.64 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Utility - Water Supply industry was having an average PEG ratio of 2.97.
The Utility - Water Supply industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 35, positioning it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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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Consolidated Water Co. Ltd. (CWCO) : Free Stock Analysis Report