ATI (ATI) closed the most recent trading day at $177.47, moving -2% from the previous trading session. This change was narrower than the S&P 500's 2.65% loss on the day. Meanwhile, the Dow lost 1.35%, and the Nasdaq, a tech-heavy index, lost 4.18%.
The stock of maker of steel and specialty metals has risen by 11.34% in the past month, leading the Aerospace sector's gain of 7.19% and the S&P 500's gain of 5.47%.
Analysts and investors alike will be keeping a close eye on the performance of ATI in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.99, reflecting a 33.78% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $1.22 billion, indicating a 7.16% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.35 per share and a revenue of $4.98 billion, indicating changes of +34.26% and +8.57%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for ATI. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. ATI is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, ATI is presently being traded at a Forward P/E ratio of 41.65. This expresses a premium compared to the average Forward P/E of 36.94 of its industry.
Meanwhile, ATI's PEG ratio is currently 1.59. 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 of the close of trade yesterday, the Aerospace - Defense Equipment industry held an average PEG ratio of 2.15.
The Aerospace - Defense Equipment industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 48, putting it in the top 20% 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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ATI Inc. (ATI): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).