In the latest trading session, Invesco Mortgage Capital (IVR) closed at $10.74, marking a +1.51% move from the previous day. This move outpaced the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.13%, and the tech-heavy Nasdaq lost 4.09%.
Prior to today's trading, shares of the real estate investment trust had lost 1.58% over the past month. This has lagged the Finance sector's gain of 3.37% and the S&P 500's gain of 3.98% in that time.
Wall Street will be looking for positivity from Invesco Mortgage Capital as it approaches its next earnings report date. The company is expected to report EPS of $1.07, down 23.57% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Invesco Mortgage Capital. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 30.79% higher within the past month. Invesco Mortgage Capital currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Invesco Mortgage Capital is holding a Forward P/E ratio of 2.29. This represents a discount compared to its industry's average Forward P/E of 7.71.
The REIT and Equity Trust industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 240, which puts it in the bottom 5% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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