Tessco Technologies (TESS) closed at $15.82 in the latest trading session, marking a +0.96% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.72%. Elsewhere, the Dow gained 0.55%, while the tech-heavy Nasdaq added 0.71%.
Prior to today's trading, shares of the wireless communications company had gained 0.22% over the past month. This has lagged the Computer and Technology sector's gain of 2.41% and the S&P 500's gain of 0.28% in that time.
TESS will be looking to display strength as it nears its next earnings release. In that report, analysts expect TESS to post earnings of $0.16 per share. This would mark year-over-year growth of 128.57%. Our most recent consensus estimate is calling for quarterly revenue of $147.88 million, down 0.7% from the year-ago period.
TESS's full-year Zacks Consensus Estimates are calling for earnings of $0.76 per share and revenue of $609.73 million. These results would represent year-over-year changes of +38.18% and +5.08%, respectively.
Any recent changes to analyst estimates for TESS should also be noted by investors. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. TESS currently has a Zacks Rank of #1 (Strong Buy).
Investors should also note TESS's current valuation metrics, including its Forward P/E ratio of 20.62. For comparison, its industry has an average Forward P/E of 19.65, which means TESS is trading at a premium to the group.
The Communication - Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 11, putting it in the top 5% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow TESS in the coming trading sessions, be sure to utilize Zacks.com.
TESSCO Technologies Incorporated (TESS): Free Stock Analysis Report
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