Consolidated Water (CWCO) closed the most recent trading day at $27.53, moving -1.18% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.77%. Elsewhere, the Dow lost 0.67%, while the tech-heavy Nasdaq lost 0.92%.
The stock of developer and operator of desalination plants has fallen by 6.35% in the past month, leading the Utilities sector's loss of 7.72% and undershooting the S&P 500's gain of 0.96%.
The upcoming earnings release of Consolidated Water will be of great interest to investors. The company's upcoming EPS is projected at $0.24, signifying a 29.41% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $32.62 million, indicating a 7.12% decrease compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.95 per share and a revenue of $128.36 million, signifying shifts of -18.1% and -2.81%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Consolidated Water. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business 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.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Consolidated Water is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Consolidated Water is holding a Forward P/E ratio of 29.33. Its industry sports an average Forward P/E of 21.51, so one might conclude that Consolidated Water is trading at a premium comparatively.
The Utility - Water Supply industry is part of the Utilities sector. This group has a Zacks Industry Rank of 186, putting it in the bottom 25% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Consolidated Water Co. Ltd. (CWCO): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).