Back to top

Image: Bigstock

Polaris Inc (PII) Gains As Market Dips: What You Should Know

Read MoreHide Full Article

Polaris Inc (PII - Free Report) closed at $117.22 in the latest trading session, marking a +1.61% move from the prior day. This change outpaced the S&P 500's 0.45% loss on the day. At the same time, the Dow lost 0.04%, and the tech-heavy Nasdaq gained 3.58%.

Heading into today, shares of the snowmobile and ATV maker had gained 6.67% over the past month, lagging the Auto-Tires-Trucks sector's gain of 19.21% and outpacing the S&P 500's gain of 5.01% in that time.

Investors will be hoping for strength from Polaris Inc as it approaches its next earnings release. On that day, Polaris Inc is projected to report earnings of $2.13 per share, which would represent a year-over-year decline of 11.98%. Our most recent consensus estimate is calling for quarterly revenue of $2.16 billion, up 4.5% from the year-ago period.

PII's full-year Zacks Consensus Estimates are calling for earnings of $10.19 per share and revenue of $8.79 billion. These results would represent year-over-year changes of -2.02% and +0.29%, respectively.

Investors might also notice recent changes to analyst estimates for Polaris Inc. These recent revisions tend to reflect the evolving nature of short-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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. Polaris Inc is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Polaris Inc is currently trading at a Forward P/E ratio of 11.32. Its industry sports an average Forward P/E of 10.67, so we one might conclude that Polaris Inc is trading at a premium comparatively.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 164, which puts it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Polaris Inc. (PII) - free report >>

Published in