North American Construction (NOA) closed at $10.41 in the latest trading session, marking a -1.33% move from the prior day. This move lagged the S&P 500's daily gain of 1.86%. Elsewhere, the Dow gained 1.63%, while the tech-heavy Nasdaq added 2.95%.
Prior to today's trading, shares of the heavy construction and mining services company had gained 11.64% over the past month. This has outpaced the Construction sector's loss of 17.99% and the S&P 500's loss of 8.85% in that time.
Investors will be hoping for strength from NOA as it approaches its next earnings release, which is expected to be October 30, 2018. In that report, analysts expect NOA to post earnings of $0 per share. This would mark year-over-year growth of 100%. Meanwhile, our latest consensus estimate is calling for revenue of $58.29 million, up 4.35% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.47 per share and revenue of $311.98 million, which would represent changes of +235.71% and +38.04%, respectively, from the prior year.
Any recent changes to analyst estimates for NOA should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 2.17% higher within the past month. NOA is currently sporting a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that NOA has a Forward P/E ratio of 22.45 right now. Its industry sports an average Forward P/E of 14.25, so we one might conclude that NOA is trading at a premium comparatively.
The Building Products - Heavy Construction industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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North American Construction Group Ltd. (NOA): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
