Legacy Housing (LEGH) got here out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.44 per share. This compares to earnings of $0.36 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of 15.91%. 1 / 4 in the past, it was anticipated that this cell house manufacturing firm would publish earnings of $0.31 per share when it truly produced earnings of $0.37, delivering a shock of 19.35%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates 4 occasions.
Legacy Housing, which belongs to the Zacks Actual Property – Operations business, posted revenues of $48.59 million for the quarter ended June 2021, surpassing the Zacks Consensus Estimate by 1.97%. This compares to year-ago revenues of $46.01 million. The corporate has topped consensus income estimates 4 occasions during the last 4 quarters.
The sustainability of the inventory’s fast worth motion primarily based on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.
Legacy Housing shares have added about 19.8% for the reason that starting of the yr versus the S&P 500’s achieve of 18.1%.
What’s Subsequent for Legacy Housing?
Whereas Legacy Housing has outperformed the market to date this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There are not any simple solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embrace present consensus earnings expectations for the approaching quarter(s), but in addition how these expectations have modified these days.
Empirical analysis exhibits a powerful correlation between near-term inventory actions and traits in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested score device just like the Zacks Rank, which has a formidable observe file of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions development for Legacy Housing was unfavorable. Whereas the magnitude and course of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #4 (Promote) for the inventory. So, the shares are anticipated to underperform the market within the close to future. You possibly can see the entire listing of in the present day’s Zacks #1 Rank (Sturdy Purchase) shares right here.
Will probably be fascinating to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $0.44 on $47.28 million in revenues for the approaching quarter and $1.75 on $190.01 million in revenues for the present fiscal yr.
Traders must be aware of the truth that the outlook for the business can have a fabric affect on the efficiency of the inventory as properly. When it comes to the Zacks Trade Rank, Actual Property – Operations is presently within the backside 35% of the 250 plus Zacks industries. Our analysis exhibits that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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Legacy Housing Company (LEGH): Free Inventory Evaluation Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.