Consolidated Water (CWCO) closed at $33.92 in the latest trading session, marking a -1.71% move from the prior day. This change lagged the S&P 500's 0.49% gain on the day. On the other hand, the Dow registered a gain of 0.38%, and the technology-centric Nasdaq increased by 0.72%.
Coming into today, shares of the developer and operator of desalination plants had gained 5.89% in the past month. In that same time, the Utilities sector lost 0.94%, while the S&P 500 gained 2.99%.
Market participants will be closely following the financial results of Consolidated Water in its upcoming release. The company is forecasted to report an EPS of $0.24, showcasing a 22.58% downward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $32.8 million, reflecting a 1.77% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.12 per share and revenue of $133.33 million, indicating changes of 0% and -0.48%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Consolidated Water. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 6.33% higher. Right now, Consolidated Water possesses a Zacks Rank of #2 (Buy).
From a valuation perspective, Consolidated Water is currently exchanging hands at a Forward P/E ratio of 30.81. This denotes a premium relative to the industry average Forward P/E of 21.5.
The Utility – Water Supply industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
