Back to top

Image: Bigstock

Emcor Group (EME) Beats Stock Market Upswing: What Investors Need to Know

Read MoreHide Full Article

In the latest market close, Emcor Group (EME - Free Report) reached $409.20, with a +1.62% movement compared to the previous day. The stock's change was more than the S&P 500's daily gain of 0.03%. Elsewhere, the Dow saw a downswing of 0.04%, while the tech-heavy Nasdaq appreciated by 0.2%.

Heading into today, shares of the construction and maintenance company had gained 9.27% over the past month, outpacing the Construction sector's gain of 5.35% and the S&P 500's gain of 1.54% in that time.

Market participants will be closely following the financial results of Emcor Group in its upcoming release. The company's upcoming EPS is projected at $4.99, signifying a 38.23% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $3.68 billion, up 14.86% from the prior-year quarter.

It's also important for investors to be aware of any recent modifications to analyst estimates for Emcor Group. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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. Emcor Group is holding a Zacks Rank of #1 (Strong Buy) right now.

In terms of valuation, Emcor Group is currently trading at a Forward P/E ratio of 20.65. This valuation marks a premium compared to its industry's average Forward P/E of 20.04.

The Building Products - Heavy Construction industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 9, finds itself in the top 4% echelons 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


EMCOR Group, Inc. (EME) - free report >>

Published in