In the latest close session, Core & Main (CNM) was down 1.14% at $48.46. The stock fell short of the S&P 500, which registered a loss of 0.41% for the day. Elsewhere, the Dow saw a downswing of 1.13%, while the tech-heavy Nasdaq depreciated by 0.19%.
Shares of the distributor of water and fire protection products have depreciated by 3.79% over the course of the past month, underperforming the Industrial Products sector's gain of 7.51%, and the S&P 500's gain of 10.02%.
The upcoming earnings release of Core & Main will be of great interest to investors. The company is forecasted to report an EPS of $0.7, showcasing a 34.62% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $1.9 billion, indicating a 0.37% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $3.11 per share and a revenue of $7.91 billion, demonstrating changes of +4.71% and +3.48%, respectively, from the preceding year.
Investors should also pay attention to any latest changes in analyst estimates for Core & Main. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Core & Main currently has a Zacks Rank of #4 (Sell).
Investors should also note Core & Main's current valuation metrics, including its Forward P/E ratio of 15.74. This signifies a discount in comparison to the average Forward P/E of 17.14 for its industry.
Also, we should mention that CNM has a PEG ratio of 1.73. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Manufacturing - Tools & Related Products industry had an average PEG ratio of 1.44.
The Manufacturing - Tools & Related Products industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 51, putting it in the top 21% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Core & Main, Inc. (CNM): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).