Penumbra (PEN) closed the most recent trading day at $138.53, moving +0.2% from the previous trading session. This change outpaced the S&P 500's 3.09% loss on the day. Elsewhere, the Dow lost 2.41%, while the tech-heavy Nasdaq lost 4.43%.
Prior to today's trading, shares of the medical device maker had lost 11.18% over the past month. This has lagged the Medical sector's loss of 6.35% and the S&P 500's loss of 6.27% in that time.
Wall Street will be looking for positivity from PEN as it approaches its next earnings report date. This is expected to be November 5, 2018. In that report, analysts expect PEN to post earnings of -$0.01 per share. This would mark a year-over-year decline of 200%. Meanwhile, our latest consensus estimate is calling for revenue of $101.90 million, up 21.44% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.34 per share and revenue of $425.70 million. These totals would mark changes of +3500% and +27.54%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for PEN. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PEN is holding a Zacks Rank of #2 (Buy) right now.
Digging into valuation, PEN currently has a Forward P/E ratio of 406.62. Its industry sports an average Forward P/E of 31.88, so we one might conclude that PEN is trading at a premium comparatively.
Meanwhile, PEN's PEG ratio is currently 20.33. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. PEN's industry had an average PEG ratio of 2.71 as of yesterday's close.
The Medical - Instruments industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 36% 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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.