Modine (MOD) closed the most recent trading day at $237.06, moving -3.22% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.49%. On the other hand, the Dow registered a loss of 0.05%, and the technology-centric Nasdaq decreased by 0.9%.
Shares of the heating and cooling products maker witnessed a gain of 21.15% over the previous month, beating the performance of the Auto-Tires-Trucks sector with its gain of 5.12%, and the S&P 500's gain of 12.8%.
Investors will be eagerly watching for the performance of Modine in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $1.51, reflecting a 34.82% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $907.34 million, indicating a 40.19% growth compared to the corresponding quarter of the prior year.
MOD's full-year Zacks Consensus Estimates are calling for earnings of $4.82 per share and revenue of $3.13 billion. These results would represent year-over-year changes of +19.01% and +21.31%, respectively.
It is also important to note the recent changes to analyst estimates for Modine. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 remained stagnant. Currently, Modine is carrying a Zacks Rank of #3 (Hold).
Digging into valuation, Modine currently has a Forward P/E ratio of 33.9. This indicates a premium in contrast to its industry's Forward P/E of 13.3.
One should further note that MOD currently holds a PEG ratio of 1. 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 average PEG ratio for the Automotive - Original Equipment industry stood at 0.94 at the close of the market yesterday.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MOD in the coming trading sessions, be sure to utilize Zacks.com.
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Modine Manufacturing Company (MOD): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).