Ring Power (REI) got here out with quarterly earnings of $0.07 per share, beating the Zacks Consensus Estimate of $0.05 per share. This compares to earnings of $0.11 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of 40%. 1 / 4 in the past, it was anticipated that this impartial oil and fuel firm would put up earnings of $0.04 per share when it really produced earnings of $0.07, delivering a shock of 75%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates 3 times.
Ring Power, which belongs to the Zacks Oil and Gasoline – Exploration and Manufacturing – United States trade, posted revenues of $39.5 million for the quarter ended March 2021, surpassing the Zacks Consensus Estimate by 30.91%. This compares to year-ago revenues of $39.57 million. The corporate has topped consensus income estimates 3 times over the past 4 quarters.
The sustainability of the inventory’s fast value motion primarily based on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.
Ring Power shares have added about 239.5% because the starting of the yr versus the S&P 500’s acquire of 12.7%.
What’s Subsequent for Ring Power?
Whereas Ring Power has outperformed the market to this point this yr, the query that involves buyers’ minds is: what’s subsequent for the inventory?
There aren’t any simple solutions to this key query, however one dependable measure that may assist buyers handle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified these days.
Empirical analysis reveals a powerful correlation between near-term inventory actions and traits in earnings estimate revisions. Buyers can observe such revisions by themselves or depend on a tried-and-tested score instrument just like the Zacks Rank, which has a powerful observe file of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions development for Ring Power was favorable. 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 #2 (Purchase) for the inventory. So, the shares are anticipated to outperform the market within the close to future. You’ll be able to see the entire record of in the present day’s Zacks #1 Rank (Robust Purchase) shares right here.
It will likely be attention-grabbing to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $0.05 on $32.69 million in revenues for the approaching quarter and $0.27 on $122.56 million in revenues for the present fiscal yr.
Buyers ought to be aware of the truth that the outlook for the trade can have a fabric influence on the efficiency of the inventory as properly. By way of the Zacks Business Rank, Oil and Gasoline – Exploration and Manufacturing – United States is presently within the high 33% of the 250 plus Zacks industries. Our analysis reveals 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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Ring Power, Inc. (REI): Free Inventory Evaluation Report
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