Core & Main (CNM) Matches Q1 Earnings Estimates
Core & Main (CNM) came out with quarterly earnings of $0.52 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.49 per share a year ago. These figures are adjusted for non-recurring items.
A quarter ago, it was expected that this distributor of water and fire protection products would post earnings of $0.36 per share when it actually produced earnings of $0.33, delivering a surprise of -8.33%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
Core & Main , which belongs to the Zacks Manufacturing - Tools & Related Products industry, posted revenues of $1.91 billion for the quarter ended April 2025, surpassing the Zacks Consensus Estimate by 4.29%. This compares to year-ago revenues of $1.74 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Core & Main shares have added about 16.5% since the beginning of the year versus the S&P 500's gain of 2.1%.
While Core & Main has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Core & Main: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.75 on $2.11 billion in revenues for the coming quarter and $2.43 on $7.71 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Manufacturing - Tools & Related Products is currently in the bottom 11% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Apogee Enterprises (APOG), another stock in the broader Zacks Industrial Products sector, has yet to report results for the quarter ended May 2025.
This glass products company is expected to post quarterly earnings of $0.50 per share in its upcoming report, which represents a year-over-year change of -65.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Apogee Enterprises' revenues are expected to be $323.7 million, down 2.4% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Core & Main, Inc. (CNM) : Free Stock Analysis Report
Apogee Enterprises, Inc. (APOG) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
27 minutes ago
- Yahoo
US household wealth dropped in first quarter as tariff concerns hit stocks
(Reuters) -U.S. household wealth fell at the end of the first quarter, Federal Reserve data showed on Thursday, dragged down by a stock market rout that has since reversed course. The net worth of households and non-profit groups had declined to $169.3 trillion as of March 31, the Fed said in its quarterly U.S. financial accounts report, down from $170.9 trillion as of the end of last year. It was the first decline in household net worth since the third quarter of 2023. A slide in real estate values during the first quarter added to the equities-driven decline. The S&P 1500 Composite index, which encompasses the vast majority of the U.S. stock market, shed about $2.5 trillion in value in the first three months of 2025 as investors worried that President Donald Trump's tariffs could drive up inflation, send the economy into recession, or do both simultaneously. The drop in wealth may prove short-lived - the S&P 1500 is currently up about $1.2 trillion on a year-to-date basis and is essentially unchanged since Trump took office for a second time on January 20.
CNBC
28 minutes ago
- CNBC
One chart analyst on record high watch has sharp eyes on this sector
One chart analyst who is on alert for a fresh record high in the S & P 500 is carefully watching the move in semiconductors. Tech stocks have rallied this week, after floundering for much of the year as lofty valuations and Trump's tariffs weighed on the group. The PHLX Semiconductor Index this week jumped more than 4%. Artificial intelligence darling Nvidia has advanced nearly 2% over the same period. A surge in names here could be the key for the S & P 500 to close the gap to its all-time high. Investors have been lasered in on the benchmark this week as the broad market index is less than 2% from the milestone. The S & P 500 reached 6,144.15 in February. It was last around 100 points away from that level. .SOX YTD mountain PHLX Semiconductor Index, year to date "The tech sector hasn't really done anything on a relative basis for the last year. Semiconductors, even Nvidia, haven't really done anything in relative terms. It's been this big, long consolidation, kind of sideways price action for the sector. Call it maybe a pause from a massive rally in the previous years," said Adam Turnquist, chief technical strategist at LPL Financial. "So, any type of breakout here to new highs in the tech sector, semiconductor leadership, we're watching for signs of that," Turnquist continued. "Because I think the read through is that we're going to get further upside in the market beyond record high territory." Here are the levels he is watching: PHLX Semiconductor Sector: 5,470. It closed Wednesday at 5,232.53 Nvidia: 153. It closed Wednesday at 142.83 A clearing of these levels would be a bullish signal for the broader market. Turnquist said that in prior 41-day rallies, which the S & P 500 notched on Friday, the forward 12-month return for the broader index was 13% on average, and more than 17% on a median basis. Of course, if the S & P 500 fails to reach new all-time highs, that would spur fears of a "double-top" in markets, he said. A double top, in which an asset has reached a high twice, is a bearish chart indicator signaling a potential reversal to the downside. Still, there has been a lot of optimism in the markets as of late, especially with some signs of progress on the trade front. Broadly speaking, investors expect the U.S. can avoid a recession, as long as tariffs do not return to the steep levels that were unveiled in early April. The rally in semiconductors can add to that confidence. Both were higher during Thursday trading, with Nvidia up about 1%. "If you start seeing Nvidia putting up new highs, semiconductors putting up new highs, tech sector putting up new highs, it's really hard to be bearish on the broader market in this rally," Turnquist said. "Obviously, it's not a bear market bounce. It's not a head fake. It's certainly real."
Yahoo
33 minutes ago
- Yahoo
6 Ways the Upper Class Uses Personal Loans to Their Advantage
Most people think of debt as a bad thing, something that threatens your wealth and reduces your net worth. And most financial advisors would likely agree — just tune into any five minutes of personal finance guru Dave Ramsey's show to hear how devastating debt can be. Find Out: Read Next: But for the super wealthy? Not so much. In fact, those in the upper class often use personal loans — something the rest of us avoid like kale-wrapped tofu — to boost their bottom line. Here's how they do it. Yes, dying is a part of a successful wealth-building strategy. First, after buying real estate, stock and other valuable assets, the wealthy borrow against those assets. This way, they can access their equity without selling and triggering capital gains, while also allowing their assets to grow in value. When they die, the assets are passed to their heirs, who also pay no taxes on the gains the assets made during the deceased's lifetime. Et voila — the buy, borrow and die strategy. Explore More: The wealthy often use personal loans to finance new ventures or investments. For instance, if a new investment pays more than the interest on the loan, it's a win. Stakes in businesses, start-ups and other opportunities often offer returns higher than personal loans. In this way, they avoid risking their own money to increase their net worth. Yep, you heard that right. The wealthy can actually make money by paying their taxes with personal loans. For example, assume two multi-millionaires have $30 million invested in an S&P 500 index fund that returns an average of 13.81% per year, and both owe $3 million in taxes. Now, assume millionaire A sells $3 million of his portfolio to pay taxes and millionaire B takes out a loan. After five years, millionaire B's stock portfolio stands at $57.3 million, minus about $3 million in interest. Millionaire A's portfolio, on the other hand, is only worth $34.8 million. By taking out loans rather than using cash, then paying those loans down on time, the wealthy increase their creditworthiness. This in turn earns them better terms, lower interest rates and higher limits, which gives them even more power to use their various personal loan strategies to protect and increase their net worth. They also often enjoy more flexibility in their repayment options. Borrowing against assets can often minimize tax obligations. As mentioned above, the wealthy can avoid capital gains taxes by not having to sell assets like real estate and stocks. In addition, the interest they pay on loans used to fund certain investments or business expenses is sometimes tax deductible, which further lowers their taxable income. It takes time to sell a home, car or jewelry. So, the upper class often use personal loans as a sort of emergency liquidity when they see a good investment opportunity. Rather than taking the time to liquidate an asset or sell stocks — potentially triggering taxes — because of their wealth, a personal loan is often easy to get and faster. Like they say, it takes money to make money — and sometimes to borrow it. More From GOBankingRates Warren Buffett: 10 Things Poor People Waste Money On This article originally appeared on 6 Ways the Upper Class Uses Personal Loans to Their Advantage Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
