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Gladstone Commercial (GOOD) Flat As Market Gains: What You Should Know

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Gladstone Commercial (GOOD - Free Report) closed the most recent trading day at $16.05, making no change from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 0.9% for the day. On the other hand, the Dow registered a gain of 0.81%, and the technology-centric Nasdaq increased by 1.22%.

Shares of the real estate investment trust have appreciated by 5.59% over the course of the past month, outperforming the Finance sector's gain of 0.34% and the S&P 500's gain of 3.15%.

Analysts and investors alike will be keeping a close eye on the performance of Gladstone Commercial in its upcoming earnings disclosure. The company is expected to report EPS of $0.35, up 2.94% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $35.95 million, down 1.4% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.39 per share and a revenue of $144.14 million, indicating changes of -5.44% and -2.33%, respectively, from the former year.

Investors should also note any recent changes to analyst estimates for Gladstone Commercial. 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.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

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. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Currently, Gladstone Commercial is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Gladstone Commercial is currently trading at a Forward P/E ratio of 11.59. This expresses a discount compared to the average Forward P/E of 12.56 of its industry.

We can also see that GOOD currently has a PEG ratio of 1.93. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the REIT and Equity Trust - Other industry was having an average PEG ratio of 2.44.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 83, putting it in the top 33% 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.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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