In the latest trading session, Main Street Capital (MAIN) closed at $40.03, marking a -1.21% move from the previous day. This change lagged the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Coming into today, shares of the investment firm had gained 1.5% in the past month. In that same time, the Finance sector gained 3.37%, while the S&P 500 gained 3.98%.
Investors will be hoping for strength from Main Street Capital as it approaches its next earnings release. The company is expected to report EPS of $0.97, up 29.33% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $118.62 million, up 39.23% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.96 per share and revenue of $482.89 million, which would represent changes of +20.36% and +28.14%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Main Street Capital. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Main Street Capital is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Main Street Capital has a Forward P/E ratio of 10.23 right now. For comparison, its industry has an average Forward P/E of 7.15, which means Main Street Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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