In the latest trading session, Archrock Inc. (AROC – Free Report) closed at $24.06, marking a -1.6% move from the previous day. This move lagged the S&P 500’s daily loss of 0.91%. Meanwhile, the Dow lost 1.5%, and the Nasdaq, a tech-heavy index, lost 1.96%.
The the stock of natural gas compression services business has fallen by 10.24% in the past month, lagging the Oils-Energy sector’s loss of 4.23% and the S&P 500’s loss of 7.38%.
Market participants will be closely following the financial results of Archrock Inc. in its upcoming release. On that day, Archrock Inc. is projected to report earnings of $0.37 per share, which would represent year-over-year growth of 42.31%. In the meantime, our current consensus estimate forecasts the revenue to be $341.88 million, indicating a 27.33% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.54 per share and a revenue of $1.44 billion, signifying shifts of +46.67% and +24.54%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Archrock Inc. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company’s business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we’ve formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. The Zacks Consensus EPS estimate has moved 12.14% higher within the past month. Currently, Archrock Inc. is carrying a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Archrock Inc. is presently being traded at a Forward P/E ratio of 15.88. For comparison, its industry has an average Forward P/E of 12.38, which means Archrock Inc. is trading at a premium to the group.
Investors should also note that AROC has a PEG ratio of 1.32 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. Oil and Gas – Field Services stocks are, on average, holding a PEG ratio of 1.56 based on yesterday’s closing prices.
The Oil and Gas – Field Services industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 76, positioning it in the top 31% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
Financial Market Newsflash
No financial news published today. Check back later.
