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Here's Why DXP Enterprises (DXPE) Gained But Lagged the Market Today

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In the latest trading session, DXP Enterprises (DXPE - Free Report) closed at $54.86, marking a +0.31% move from the previous day. This move lagged the S&P 500's daily gain of 0.77%. Elsewhere, the Dow saw an upswing of 0.47%, while the tech-heavy Nasdaq appreciated by 0.87%.

The industrial products supplier's shares have seen an increase of 9.62% over the last month, surpassing the Industrial Products sector's gain of 8.52% and the S&P 500's gain of 4.87%.

Investors will be eagerly watching for the performance of DXP Enterprises in its upcoming earnings disclosure.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for DXP Enterprises. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. DXP Enterprises currently has a Zacks Rank of #1 (Strong Buy).

With respect to valuation, DXP Enterprises is currently being traded at a Forward P/E ratio of 15.36. Its industry sports an average Forward P/E of 23.14, so one might conclude that DXP Enterprises is trading at a discount comparatively.

The Manufacturing - General Industrial industry is part of the Industrial Products sector. This industry, currently bearing a Zacks Industry Rank of 101, finds itself in the top 41% 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.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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