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Otter Tail (OTTR) Stock Moves -1.03%: What You Should Know

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Otter Tail (OTTR - Free Report) closed at $68.18 in the latest trading session, marking a -1.03% move from the prior day. This change was narrower than the S&P 500's 1.71% loss on the day. Elsewhere, the Dow lost 1.7%, while the tech-heavy Nasdaq lost 0.09%.

Prior to today's trading, shares of the power company and manufacturer had lost 12.03% over the past month. This has lagged the Utilities sector's loss of 5.49% and the S&P 500's loss of 8.68% in that time.

Otter Tail will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.70, up 34.92% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $389.3 million, up 23.08% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $7.08 per share and revenue of $1.56 billion, which would represent changes of +67.38% and +30.01%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Otter Tail. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Otter Tail is currently sporting a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, Otter Tail is holding a Forward P/E ratio of 9.73. For comparison, its industry has an average Forward P/E of 18.97, which means Otter Tail is trading at a discount to the group.

The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 75, putting it in the top 30% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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