Here's Why Consolidated Water (CWCO) Fell More Than Broader Market

In the latest close session, Consolidated Water (CWCO) was down 1.32% at $29.97. The stock fell short of the S&P 500, which registered a loss of 0.33% for the day. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.22%. The developer and operator of desalination plants's stock has climbed by 7.54% in the past month, exceeding the Utilities sector's loss of 0.51% and the S&P 500's gain of 4.07%.Analysts and investors alike will be keeping a close eye on the performance of Consolidated Water in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.2, indicating a 23.08% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $32.69 million, indicating a 0.65% increase compared to the same quarter of the previous year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.9 per share and revenue of $132.23 million. These totals would mark changes of -19.64% and -1.3%, respectively, from last year. It's also important for investors to be aware of any recent modifications to analyst estimates for Consolidated Water. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential. Empirical research indicates that these revisions in estimates have a direct correlation with impending 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. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Consolidated Water possesses a Zacks Rank of #3 (Hold). Looking at valuation, Consolidated Water is presently trading at a Forward P/E ratio of 33.62. This represents a premium compared to its industry average Forward P/E of 22.01. The Utility - Water Supply industry is part of the Utilities sector. At present, this industry carries a Zacks Industry Rank of 44, placing it within the top 18% of over 250 industries. The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. #1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Consolidated Water Co. Ltd. (CWCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks