Mueller Water Merchandise (MWA) got here out with quarterly earnings of $0.17 per share, beating th
Mueller Water Merchandise (MWA) got here out with quarterly earnings of $0.17 per share, beating the Zacks Consensus Estimate of $0.15 per share. This compares to earnings of $0.19 per share a 12 months in the past. These figures are adjusted for non-recurring gadgets.
This quarterly report represents an earnings shock of 13.33%. 1 / 4 in the past, it was anticipated that this maker of fireplace hydrants, pipes and water valves would publish earnings of $0.09 per share when it truly produced earnings of $0.11, delivering a shock of 22.22%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates 3 times.
Mueller Water Merchandise, which belongs to the Zacks Metal – Pipe and Tube trade, posted revenues of $265.30 million for the quarter ended September 2020, surpassing the Zacks Consensus Estimate by 1.13%. This compares to year-ago revenues of $266.90 million. The corporate has topped consensus income estimates 4 instances during the last 4 quarters.
The sustainability of the inventory’s rapid value motion primarily based on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.
Mueller Water Merchandise shares have misplaced about 9.2% because the starting of the 12 months versus the S&P 500’s acquire of 8.6%.
What’s Subsequent for Mueller Water Merchandise?
Whereas Mueller Water Merchandise has underperformed the market up to now this 12 months, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any straightforward 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 recently.
Empirical analysis exhibits a powerful correlation between near-term inventory actions and traits in earnings estimate revisions. Traders can monitor such revisions by themselves or depend on a tried-and-tested score instrument just like the Zacks Rank, which has a powerful monitor report of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Mueller Water Merchandise was blended. Whereas the magnitude and route of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out according to the market within the close to future. You may see the whole record of as we speak’s Zacks #1 Rank (Sturdy Purchase) shares right here.
Will probably be fascinating to see how estimates for the approaching quarters and present fiscal 12 months change within the days forward. The present consensus EPS estimate is $0.11 on $221.30 million in revenues for the approaching quarter and $0.58 on $1 billion in revenues for the present fiscal 12 months.
Traders must be aware of the truth that the outlook for the trade can have a fabric affect on the efficiency of the inventory as nicely. By way of the Zacks Trade Rank, Metal – Pipe and Tube is at present within the high 48% 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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MUELLER WATER PRODUCTS (MWA): 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.