American Superconductor AMSC is gearing up to announce its quarterly earnings on Wednesday, 2024-10-30. Here's a quick overview of what investors should know before the release.
Analysts are estimating that American Superconductor will report an earnings per share (EPS) of $0.04.
The announcement from American Superconductor is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.
It's worth noting for new investors that guidance can be a key determinant of stock price movements.
Historical Earnings Performance
Last quarter the company beat EPS by $0.07, which was followed by a 9.13% drop in the share price the next day.
Market Performance of American Superconductor's Stock
Shares of American Superconductor were trading at $24.22 as of October 28. Over the last 52-week period, shares are up 274.69%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Observations about American Superconductor
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on American Superconductor.
A total of 3 analyst ratings have been received for American Superconductor, with the consensus rating being Buy. The average one-year price target stands at $30.33, suggesting a potential 25.23% upside.
Comparing Ratings Among Industry Peers
In this analysis, we delve into the analyst ratings and average 1-year price targets of Shoals Technologies Gr and Array Technologies, three key industry players, offering insights into their relative performance expectations and market positioning.
- The prevailing sentiment among analysts is an Outperform trajectory for Shoals Technologies Gr, with an average 1-year price target of $11.26, implying a potential 53.51% downside.
- Array Technologies is maintaining an Buy status according to analysts, with an average 1-year price target of $12.17, indicating a potential 49.75% downside.
Comprehensive Peer Analysis Summary
The peer analysis summary provides a snapshot of key metrics for Shoals Technologies Gr and Array Technologies, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| American Superconductor | Buy | 33.17% | $12.22M | -1.75% |
| Shoals Technologies Gr | Outperform | -16.74% | $40.00M | 2.15% |
| Array Technologies | Buy | -49.63% | $85.95M | 5.54% |
Key Takeaway:
American Superconductor ranks highest in revenue growth among its peers. However, it ranks lowest in gross profit and return on equity.
Delving into American Superconductor's Background
American Superconductor Corp generates the ideas, technologies, and solutions that meet world's demand for smarter, cleaner and energy. Through its Windtec Solutions, the company enables manufacturers to launch wind turbines quickly, effectively and profitably. Through its Gridtec Solutions, the company provides engineering planning services and grid systems that optimize network reliability, efficiency and performance. The company's segment includes Grid and Wind. It generates maximum revenue from the Grid segment.
American Superconductor's Economic Impact: An Analysis
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Positive Revenue Trend: Examining American Superconductor's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 33.17% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of -6.26%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): American Superconductor's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -1.75%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): American Superconductor's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -1.07%, the company may face hurdles in achieving optimal financial returns.
Debt Management: American Superconductor's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.03.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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