Consolidated Water (CWCO) closed at $31.29 in the latest trading session, marking a +1.13% move from the prior day. The stock's performance was ahead of the S&P 500's daily gain of 0.83%. Meanwhile, the Dow gained 0.77%, and the Nasdaq, a tech-heavy index, added 1.02%.
Heading into today, shares of the developer and operator of desalination plants had gained 14.04% over the past month, outpacing the Utilities sector's gain of 0.18% and the S&P 500's gain of 4.99%.
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The upcoming earnings release of Consolidated Water will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.2, reflecting a 23.08% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $32.69 million, indicating a 0.65% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.9 per share and revenue of $132.23 million, indicating changes of -19.64% and -1.3%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Consolidated Water. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 past month, there's been a 0.73% fall in the Zacks Consensus EPS estimate. Consolidated Water is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Consolidated Water's current valuation metrics, including its Forward P/E ratio of 34.25. This denotes a premium relative to the industry average Forward P/E of 22.09.
The Utility – Water Supply industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 25, positioning it in the top 11% 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.
