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Louisiana-Pacific (LPX) Laps the Stock Market: Here's Why
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The latest trading session saw Louisiana-Pacific (LPX - Free Report) ending at $85.66, denoting a +1.77% adjustment from its last day's close. This move outpaced the S&P 500's daily gain of 0.55%. Meanwhile, the Dow gained 0.62%, and the Nasdaq, a tech-heavy index, added 0.63%.
Shares of the home construction supplier have depreciated by 10.09% over the course of the past month, underperforming the Construction sector's gain of 1.99% and the S&P 500's gain of 4.28%.
Market participants will be closely following the financial results of Louisiana-Pacific in its upcoming release. The company plans to announce its earnings on August 7, 2024. The company is predicted to post an EPS of $2.02, indicating a 267.27% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $814.05 million, up 33.23% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.79 per share and revenue of $3.02 billion. These totals would mark changes of +79.81% and +17.03%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Louisiana-Pacific. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% higher within the past month. Right now, Louisiana-Pacific possesses a Zacks Rank of #2 (Buy).
Looking at valuation, Louisiana-Pacific is presently trading at a Forward P/E ratio of 14.54. This indicates a discount in contrast to its industry's Forward P/E of 22.45.
One should further note that LPX currently holds a PEG ratio of 10.93. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Building Products - Wood industry was having an average PEG ratio of 3.22.
The Building Products - Wood industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 195, finds itself in the bottom 23% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Louisiana-Pacific (LPX) Laps the Stock Market: Here's Why
The latest trading session saw Louisiana-Pacific (LPX - Free Report) ending at $85.66, denoting a +1.77% adjustment from its last day's close. This move outpaced the S&P 500's daily gain of 0.55%. Meanwhile, the Dow gained 0.62%, and the Nasdaq, a tech-heavy index, added 0.63%.
Shares of the home construction supplier have depreciated by 10.09% over the course of the past month, underperforming the Construction sector's gain of 1.99% and the S&P 500's gain of 4.28%.
Market participants will be closely following the financial results of Louisiana-Pacific in its upcoming release. The company plans to announce its earnings on August 7, 2024. The company is predicted to post an EPS of $2.02, indicating a 267.27% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $814.05 million, up 33.23% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.79 per share and revenue of $3.02 billion. These totals would mark changes of +79.81% and +17.03%, respectively, from last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Louisiana-Pacific. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% higher within the past month. Right now, Louisiana-Pacific possesses a Zacks Rank of #2 (Buy).
Looking at valuation, Louisiana-Pacific is presently trading at a Forward P/E ratio of 14.54. This indicates a discount in contrast to its industry's Forward P/E of 22.45.
One should further note that LPX currently holds a PEG ratio of 10.93. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Building Products - Wood industry was having an average PEG ratio of 3.22.
The Building Products - Wood industry is part of the Construction sector. This industry, currently bearing a Zacks Industry Rank of 195, finds itself in the bottom 23% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.