Avantor, Inc. (AVTR) closed the most recent trading day at $42.01, moving +0.65% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.3%. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, added 0.2%.
Prior to today's trading, shares of the company had gained 9.01% over the past month. This has outpaced the Medical sector's gain of 3.85% and the S&P 500's gain of 3.11% in that time.
Avantor, Inc. will be looking to display strength as it nears its next earnings release. In that report, analysts expect Avantor, Inc. to post earnings of $0.33 per share. This would mark year-over-year growth of 13.79%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.9 billion, up 6.26% from the year-ago period.
AVTR's full-year Zacks Consensus Estimates are calling for earnings of $1.38 per share and revenue of $7.38 billion. These results would represent year-over-year changes of +55.06% and +15.45%, respectively.
Investors should also note any recent changes to analyst estimates for Avantor, Inc.Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, 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. Within the past 30 days, our consensus EPS projection remained stagnant. Avantor, Inc. is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Avantor, Inc. is currently trading at a Forward P/E ratio of 30.19. For comparison, its industry has an average Forward P/E of 28.69, which means Avantor, Inc. is trading at a premium to the group.
Investors should also note that AVTR has a PEG ratio of 1.27 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Medical Services was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Medical Services industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% 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.
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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