In the latest close session, Badger Meter (BMI) was down 1.78% at $240.58. The stock trailed the S&P 500, which registered a daily loss of 0.11%. Meanwhile, the Dow gained 0.91%, and the Nasdaq, a tech-heavy index, lost 0.82%.
Shares of the manufacturer of products that measure gas and water flow have depreciated by 2.7% over the course of the past month, underperforming the Computer and Technology sector's gain of 8.76%, and the S&P 500's gain of 5.17%.
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Analysts and investors alike will be keeping a close eye on the performance of Badger Meter in its upcoming earnings disclosure. On that day, Badger Meter is projected to report earnings of $1.19 per share, which would represent year-over-year growth of 6.25%. Meanwhile, our latest consensus estimate is calling for revenue of $234.33 million, up 8.16% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.91 per share and a revenue of $924.92 million, indicating changes of +16.08% and +11.9%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for Badger Meter. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.86% increase. Badger Meter presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, Badger Meter is holding a Forward P/E ratio of 49.88. This expresses a premium compared to the average Forward P/E of 26.51 of its industry.
One should further note that BMI currently holds a PEG ratio of 3.51. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Instruments – Control industry had an average PEG ratio of 3.51 as trading concluded yesterday.
The Instruments – Control industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 203, positioning it in the bottom 18% of all 250+ industries.
