Core & Main (CNM) Registers a Bigger Fall Than the Market: Important Facts to Note

In the latest close session, Core & Main (CNM) was down 1.37% at $46.13. This change lagged the S&P 500's 0.07% loss on the day. Meanwhile, the Dow experienced a rise of 0.32%, and the technology-dominated Nasdaq saw a decrease of 0.51%. The distributor of water and fire protection products's stock has dropped by 7.91% in the past month, falling short of the Industrial Products sector's gain of 0.71% and the S&P 500's gain of 5.58%.The investment community will be closely monitoring the performance of Core & Main in its forthcoming earnings report. The company is forecasted to report an EPS of $0.7, showcasing a 34.62% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $1.9 billion, down 0.37% from the year-ago period. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.11 per share and a revenue of $7.91 billion, indicating changes of +4.71% and +3.48%, respectively, from the former year. Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Core & Main. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system. Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Core & Main is currently a Zacks Rank #4 (Sell). Digging into valuation, Core & Main currently has a Forward P/E ratio of 15.02. For comparison, its industry has an average Forward P/E of 16.4, which means Core & Main is trading at a discount to the group. We can also see that CNM currently has a PEG ratio of 1.65. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Manufacturing - Tools & Related Products industry currently had an average PEG ratio of 1.28 as of yesterday's close. The Manufacturing - Tools & Related Products industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 158, positioning it in the bottom 36% of all 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. Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions. 7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks