In This Article:
The latest trading session saw Consolidated Water (CWCO) ending at $27.53, denoting a +0.58% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily loss of 1.71%. Elsewhere, the Dow lost 1.7%, while the tech-heavy Nasdaq lost 2.2%.
The developer and operator of desalination plants's shares have seen an increase of 4.51% over the last month, surpassing the Utilities sector's gain of 2.67% and the S&P 500's gain of 2.2%.
Analysts and investors alike will be keeping a close eye on the performance of Consolidated Water in its upcoming earnings disclosure.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Consolidated Water. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Consolidated Water is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, Consolidated Water is at present trading with a Forward P/E ratio of 19.55. For comparison, its industry has an average Forward P/E of 19.59, which means Consolidated Water is trading at a discount to the group.
We can also see that CWCO currently has a PEG ratio of 2.44. 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. Utility - Water Supply stocks are, on average, holding a PEG ratio of 2.53 based on yesterday's closing prices.
The Utility - Water Supply industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.