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Lifeway Foods (LWAY) Gains As Market Dips: What You Should Know

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In the latest market close, Lifeway Foods (LWAY - Free Report) reached $26.57, with a +0.64% movement compared to the previous day. The stock exceeded the S&P 500, which registered a loss of 0.33% for the day. Elsewhere, the Dow lost 0.22%, while the tech-heavy Nasdaq lost 0.56%.

The dairy and cheese company's stock has climbed by 0.99% in the past month, exceeding the Consumer Staples sector's loss of 4.59% and lagging the S&P 500's gain of 1.83%.

Analysts and investors alike will be keeping a close eye on the performance of Lifeway Foods in its upcoming earnings disclosure. In that report, analysts expect Lifeway Foods to post earnings of $0.27 per share. This would mark year-over-year growth of 17.39%. In the meantime, our current consensus estimate forecasts the revenue to be $51.5 million, indicating a 25.92% growth compared to the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.99 per share and revenue of $199.79 million, indicating changes of +32% and +24.77%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Lifeway Foods. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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. Within the past 30 days, our consensus EPS projection remained stagnant. Lifeway Foods presently features a Zacks Rank of #3 (Hold).

With respect to valuation, Lifeway Foods is currently being traded at a Forward P/E ratio of 26.67. This represents a premium compared to its industry's average Forward P/E of 19.31.

The Food - Dairy Products industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 102, placing it within the top 41% of over 250 industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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