Yahoo Finance Modine (MOD) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Modine (MOD) closed at $20.57, marking a +0.39% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.3%. At the same time, the Dow added 0.14%, and the tech-heavy Nasdaq gained 5.74%.
Prior to today's trading, shares of the heating and cooling products maker had lost 5.66% over the past month. This has lagged the Auto-Tires-Trucks sector's loss of 3.49% and the S&P 500's gain of 0.85% in that time.
Modine will be looking to display strength as it nears its next earnings release, which is expected to be May 24, 2023. On that day, Modine is projected to report earnings of $0.48 per share, which would represent a year-over-year decline of 15.79%. Our most recent consensus estimate is calling for quarterly revenue of $604.6 million, up 5.26% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Modine. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Modine is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Modine's current valuation metrics, including its Forward P/E ratio of 7.79. Its industry sports an average Forward P/E of 12.32, so we one might conclude that Modine is trading at a discount comparatively.
We can also see that MOD currently has a PEG ratio of 0.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Automotive - Original Equipment stocks are, on average, holding a PEG ratio of 0.61 based on yesterday's closing prices.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 93, putting it in the top 37% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Modine Manufacturing Company (MOD) : Free Stock Analysis Report
