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Modine (MOD) Gains As Market Dips: What You Should Know

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Modine (MOD - Free Report) closed the latest trading day at $131.72, indicating a +0.8% change from the previous session's end. The stock's performance was ahead of the S&P 500's daily loss of 0.13%. On the other hand, the Dow registered a gain of 0.33%, and the technology-centric Nasdaq decreased by 0.39%.

Heading into today, shares of the heating and cooling products maker had gained 12.74% over the past month, outpacing the Auto-Tires-Trucks sector's gain of 10.12% and the S&P 500's gain of 2.43% in that time.

The investment community will be closely monitoring the performance of Modine in its forthcoming earnings report. The company's upcoming EPS is projected at $0.93, signifying a 4.49% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $644.74 million, up 3.91% from the prior-year quarter.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.86 per share and a revenue of $2.61 billion, signifying shifts of +18.77% and +8.44%, respectively, from the last year.

Any recent changes to analyst estimates for Modine should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.26% increase. Modine presently features a Zacks Rank of #3 (Hold).

Looking at valuation, Modine is presently trading at a Forward P/E ratio of 33.87. This denotes a premium relative to the industry's average Forward P/E of 12.34.

We can additionally observe that MOD currently boasts a PEG ratio of 1. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Automotive - Original Equipment was holding an average PEG ratio of 0.73 at yesterday's closing price.

The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 95, finds itself in the top 38% echelons of all 250+ industries.

The Zacks Industry Rank is ordered 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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