In the latest trading session, AllianceBernstein (AB) closed at $30.31, marking a -0.66% move from the previous day. This change was narrower than the S&P 500's 3.17% loss on the day. Elsewhere, the Dow lost 3.77%, while the tech-heavy Nasdaq lost 2.28%.
Prior to today's trading, shares of the investment management company had lost 9.06% over the past month. This has lagged the Finance sector's loss of 7.47% and the S&P 500's loss of 8.05% in that time.
AB will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.66, up 34.69% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $757.80 million, up 15.19% from the prior-year quarter.
AB's full-year Zacks Consensus Estimates are calling for earnings of $2.93 per share and revenue of $3.22 billion. These results would represent year-over-year changes of +16.27% and +10.38%, respectively.
Any recent changes to analyst estimates for AB 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.34% higher. AB currently has a Zacks Rank of #2 (Buy).
Digging into valuation, AB currently has a Forward P/E ratio of 10.43. For comparison, its industry has an average Forward P/E of 9.66, which means AB is trading at a premium to the group.
Investors should also note that AB has a PEG ratio of 1.31 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. AB's industry had an average PEG ratio of 1.01 as of yesterday's close.
The Financial - Investment Management industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 18, which puts it in the top 8% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
AllianceBernstein Holding L.P. (AB): Free Stock Analysis Report
Original post