Superior Group Sees Projected EPS Stability Amid Market Gains

A recent report highlights Superior Group's steady EPS projections and revenue growth, outperforming key indices. However, analysts have revised estimates down, reflecting some caution in near-term performance.

Date: 11-09-2024

AI Rating: 6

According to the report, Superior Group (SGC) is projected to have an EPS of $0.19 in the upcoming release, which signifies steady performance compared to the same quarter last year. This stability in earnings may boost investor confidence, potentially affecting stock prices positively.

The consensus estimate for revenue is expected to rise to $142.56 million, which indicates a 4.72% increase from the year-ago quarter. This growth in revenue can be a positive indicator for the stock as it suggests that the company is expanding its sales.

For the full year, the Zacks Consensus Estimates project an annual EPS of $0.74 and a revenue of $563.92 million, showing an increase of 37.04% and 3.79%, respectively, from the previous year. Such projections can positively influence stock prices as they reflect strong earnings growth.

However, it is crucial to note that the Zacks Consensus EPS estimate has witnessed a 1.34% decrease in the last 30 days, which is a slight negative signal for investors. Moreover, currently, Superior Group holds a Zacks Rank of #4 (Sell), indicating some caution from analysts about the company’s near-term prospects.

In terms of valuation, SGC has a Forward P/E ratio of 18.9, which is at a premium compared to its industry’s Forward P/E of 16.32. A higher P/E ratio could suggest that the stock is overvalued relative to its peers, which may lead to downward pressure on its price if investors perceive it as too high.

Additionally, the current PEG ratio is 1.89, slightly above the industry average of 1.88. This represents a neutral stance on how investors perceive future earnings growth relative to its current price.

Overall, the performance of Superior Group's stock will likely be influenced by these mixed signals regarding EPS, revenue growth, and market valuations. Investors should keep an eye on further developments in the company's financial results.

Stocks: SGC