The latest trading session saw Archrock Inc. (AROC) ending at $20.41, denoting a -1.26% adjustment from its last day's close. The stock's performance was behind the S&P 500's daily loss of 0.18%. Meanwhile, the Dow lost 0.8%, and the Nasdaq, a tech-heavy index, added 0.27%.
The natural gas compression services business's stock has dropped by 1.1% in the past month, exceeding the Oils-Energy sector's loss of 8.08% and lagging the S&P 500's gain of 4.46%.
The investment community will be paying close attention to the earnings performance of Archrock Inc. in its upcoming release. The company is expected to report EPS of $0.28, up 40% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $292.95 million, indicating a 15.62% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.10 per share and a revenue of $1.15 billion, indicating changes of +59.42% and +16.61%, respectively, from the former year.
Investors should also take note of any recent adjustments to analyst estimates for Archrock Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
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, 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 moved 5.14% higher. Right now, Archrock Inc. possesses a Zacks Rank of #1 (Strong Buy).
Looking at valuation, Archrock Inc. is presently trading at a Forward P/E ratio of 18.88. This indicates a premium in contrast to its industry's Forward P/E of 18.46.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 173, finds itself in the bottom 32% echelons 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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