Polaris Inc (PII) closed the most recent trading day at $118.01, moving +1.51% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.38%. Elsewhere, the Dow gained 0.27%, while the tech-heavy Nasdaq lost 4.19%.
Heading into today, shares of the snowmobile and ATV maker had gained 11.47% over the past month, lagging the Auto-Tires-Trucks sector's gain of 14.75% and outpacing the S&P 500's gain of 3.78% in that time.
Investors will be hoping for strength from Polaris Inc as it approaches its next earnings release. On that day, Polaris Inc is projected to report earnings of $2.13 per share, which would represent a year-over-year decline of 11.98%. Meanwhile, our latest consensus estimate is calling for revenue of $2.16 billion, up 4.5% from the prior-year quarter.
PII's full-year Zacks Consensus Estimates are calling for earnings of $10.19 per share and revenue of $8.79 billion. These results would represent year-over-year changes of -2.02% and +0.29%, respectively.
Investors should also note any recent changes to analyst estimates for Polaris Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Polaris Inc is currently sporting a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Polaris Inc has a Forward P/E ratio of 11.41 right now. For comparison, its industry has an average Forward P/E of 10.47, which means Polaris Inc is trading at a premium to the group.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 61, which puts it in the top 25% 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 PII in the coming trading sessions, be sure to utilize Zacks.com.
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