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Polaris Inc (PII) Dips More Than Broader Markets: What You Should Know

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In the latest trading session, Polaris Inc (PII - Free Report) closed at $107.71, marking a -1.16% move from the previous day. This change lagged the S&P 500's 0.61% loss on the day. At the same time, the Dow lost 0.41%, and the tech-heavy Nasdaq gained 10.45%.

Heading into today, shares of the snowmobile and ATV maker had gained 0.62% over the past month, lagging the Auto-Tires-Trucks sector's gain of 9.23% and the S&P 500's gain of 1.05% in that time.

Polaris Inc will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.13, down 11.98% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.16 billion, up 4.5% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.19 per share and revenue of $8.79 billion. These totals would mark changes of -2.02% and +0.29%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for Polaris Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Polaris Inc is currently sporting a Zacks Rank of #4 (Sell).

Investors should also note Polaris Inc's current valuation metrics, including its Forward P/E ratio of 10.7. For comparison, its industry has an average Forward P/E of 9.9, which means Polaris Inc is trading at a premium to the group.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks 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.

To follow PII in the coming trading sessions, be sure to utilize Zacks.com.


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