Echo Global Logistics (ECHO) Gains But Lags Market: What You Should Know
Echo Global Logistics (ECHO) closed the most recent trading day at $33.11, moving +0.06% from the previous trading session.
In the latest trading session, Echo Global Logistics (ECHO) closed at $33.11, marking a +0.06% move from the previous day. This move lagged the S&P 500's daily gain of 0.28%.
Prior to today's trading, shares of the provider of supply-chain management services had gained 6.91% over the past month. This has outpaced the Transportation sector's gain of 2.17% and the S&P 500's gain of 3.07% in that time.
ECHO will be looking to display strength as it nears its next earnings release. In that report, analysts expect ECHO to post earnings of $0.69 per share. This would mark year-over-year growth of 72.5%. Meanwhile, our latest consensus estimate is calling for revenue of $925.64 million, up 33.86% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.67 per share and revenue of $3.51 billion. These totals would mark changes of +100.75% and +39.57%, respectively, from last year.
Any recent changes to analyst estimates for ECHO should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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. ECHO is holding a Zacks Rank of #1 (Strong Buy) right now.
Investors should also note ECHO's current valuation metrics, including its Forward P/E ratio of 12.41. This valuation marks a discount compared to its industry's average Forward P/E of 16.37.
The Transportation - Services industry is part of the Transportation sector. This group has a Zacks Industry Rank of 72, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ECHO in the coming trading sessions, be sure to utilize Zacks.com.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.Click here for the 4 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Echo Global Logistics, Inc. (ECHO): Free Stock Analysis Report
To read this article on Zacks.com click here.