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Emcor Group (EME) Stock Slides as Market Rises: Facts to Know Before You Trade

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Emcor Group (EME - Free Report) closed the latest trading day at $506.47, indicating a -0.88% change from the previous session's end. This change lagged the S&P 500's 1% gain on the day. Elsewhere, the Dow gained 0.78%, while the tech-heavy Nasdaq added 1.51%.

Shares of the construction and maintenance company witnessed a gain of 10.06% over the previous month, beating the performance of the Construction sector with its loss of 3.14% and the S&P 500's loss of 2.14%.

Analysts and investors alike will be keeping a close eye on the performance of Emcor Group in its upcoming earnings disclosure. The company's earnings report is set to go public on February 26, 2025. The company is predicted to post an EPS of $5.54, indicating a 23.94% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.87 billion, indicating a 12.6% increase compared to the same quarter of the previous year.

Investors might also notice recent changes to analyst estimates for Emcor Group. 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 reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Emcor Group is currently a Zacks Rank #3 (Hold).

In the context of valuation, Emcor Group is at present trading with a Forward P/E ratio of 22.98. For comparison, its industry has an average Forward P/E of 18.46, which means Emcor Group is trading at a premium to the group.

The Building Products - Heavy Construction industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 173, finds itself in the bottom 32% 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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