DLH Holdings Corp. (DLHC) closed at $19.57 in the latest trading session, marking a +0.93% move from the prior day. This move outpaced the S&P 500’s daily loss of 0.06%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, lost 0.3%.
Heading into today, shares of the company had gained 46.56% over the past month, outpacing the Business Services sector’s loss of 8.62% and the S&P 500’s gain of 5.76% in that time.
DLH Holdings Corp. will be looking to display strength as it nears its next earnings release. In that report, analysts expect DLH Holdings Corp. to post earnings of $0.48 per share. This would mark year-over-year growth of 269.23%. Meanwhile, our latest consensus estimate is calling for revenue of $158 million, up 173.12% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.25 per share and revenue of $393.5 million. These totals would mark changes of +54.32% and +59.9%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DLH Holdings Corp.These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 14.68% higher within the past month. DLH Holdings Corp. is currently a Zacks Rank #1 (Strong Buy).
Valuation is also important, so investors should note that DLH Holdings Corp. has a Forward P/E ratio of 15.51 right now. This represents a premium compared to its industry’s average Forward P/E of 13.6.
The Staffing Firms industry is part of the Business Services sector. This group has a Zacks Industry Rank of 38, putting it in the top 15% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DLHC in the coming trading sessions, be sure to utilize Zacks.com.
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