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UFP Industries (UFPI) Outpaces Stock Market Gains: What You Should Know

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UFP Industries (UFPI - Free Report) closed at $102.88 in the latest trading session, marking a +1.47% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.84%. At the same time, the Dow added 0.96%, and the tech-heavy Nasdaq gained 0.81%.

Prior to today's trading, shares of the wood and materials provider for the construction industry had lost 0.17% over the past month. This has was narrower than the Construction sector's loss of 4.92% and lagged the S&P 500's gain of 0.19% in that time.

Wall Street will be looking for positivity from UFP Industries as it approaches its next earnings report date. The company is expected to report EPS of $2.13, down 19.92% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.04 billion, down 12.35% from the year-ago period.

UFPI's full-year Zacks Consensus Estimates are calling for earnings of $8.26 per share and revenue of $7.82 billion. These results would represent year-over-year changes of -24.7% and -18.78%, respectively.

It is also important to note the recent changes to analyst estimates for UFP Industries. These revisions typically reflect the latest short-term business trends, which can change frequently. 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 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. UFP Industries currently has a Zacks Rank of #3 (Hold).

Digging into valuation, UFP Industries currently has a Forward P/E ratio of 12.28. This represents a discount compared to its industry's average Forward P/E of 16.94.

The Building Products - Wood industry is part of the Construction sector. This group has a Zacks Industry Rank of 42, putting it in the top 17% 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.

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


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