Invesco Mortgage Capital (IVR) gained 1.32% in the latest trading session, closing at $10.01. This increase outperformed the S&P 500’s 0.27% daily loss. While the Dow experienced a 0.47% decline, the tech-heavy Nasdaq saw a 0.14% increase.
Over the past month, Invesco Mortgage Capital has seen a decrease of 12.18% in its share price, which lags behind the Finance sector’s loss of 1.83% and the S&P 500’s loss of 2.86% during the same period.
Investors are anticipating positive news from Invesco Mortgage Capital as it approaches its next earnings report. Analysts expect the company to post earnings of $1.40 per share, signaling a year-over-year growth of 0.72%.
It is important to note any recent changes in analyst estimates for Invesco Mortgage Capital as they often reflect the latest near-term business trends. Positive estimate revisions indicate analyst optimism about the company’s business and profitability.
Research has shown that these estimate revisions are directly correlated with near-term share price momentum. The Zacks Rank, a rating model developed to capitalize on this phenomenon, takes these estimate changes into account. Stocks with a Zacks Rank of #1 (Strong Buy) to #5 (Strong Sell) have historically performed well. Since 1988, #1 stocks have generated an average annual return of +25%. Invesco Mortgage Capital currently holds a Zacks Rank of #2 (Buy).
In terms of valuation, Invesco Mortgage Capital is currently trading at a Forward P/E ratio of 1.8, representing a discount compared to the industry average Forward P/E of 7.09.
The REIT and Equity Trust industry, of which Invesco Mortgage Capital is a part, falls under the Finance sector. This industry group has a Zacks Industry Rank of 184, placing it in the bottom 27% of all industries. Research has shown that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To stay updated on these stock-moving metrics and more, investors can utilize Zacks.com.
In conclusion, Invesco Mortgage Capital’s recent performance and analyst expectations indicate a potential for positive growth. The company’s solid Zacks Rank and attractive valuation compared to its industry average also add to its appeal. However, investors should conduct thorough research and analysis before making any investment decisions.
Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of Nasdaq, Inc.