Improved housing market conditions, increasing consumer confidence on the back of expectations of series rate cuts and moderating inflation are encouraging for the Zacks Furniture industry. Along with the improving macro aspects, increasing investments in technological advancements and solutions are expected to drive the industry’s growth. Importantly, product innovation, along with accretive buyouts, should favor the furniture industry in expanding its global reach. Although continued investments in e-comm ...

In the latest trading session, American Woodmark (AMWD) closed at $91.55, marking a -1.76% move from the previous day. This change lagged the S&P 500's daily loss of 0.32%. At the same time, the Dow lost 0.71%, and the tech-heavy Nasdaq lost 0.2%.Shares of the cabinet maker have appreciated by 5.01% over the course of the past month, outperforming the Consumer Discretionary sector's gain of 2.23% and the S&P 500's gain of 4.59%.The investment community will be paying close attention to the earnings performa ...

Wall Street rallied in January on hopes that the Federal Reserve is likely done with interest rate hikes and rate cuts are in the anvil. The positive outlook has made consumers a lot more confident now, which saw the consumer confidence level and future outlook making a solid jump in January.The Conference Board said on Jan 30 that the U.S. consumer confidence level index raced to 114.8 in January, way above December’s reading of 108. January’s reading not only reflected the third straight monthly jump in c ...

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics a ...

Here are three stocks with buy rank and strong value characteristics for investors to consider today, January 31st:YPF Sociedad Anónima (YPF) : This international energy company engaging in the integrated business of hydrocarbons carries a Zacks Rank #1 (Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 24.2% over the last 60 days.YPF has a price-to-earnings ratio (P/E) of 4.72, compared with 6.90 for the industry. The company possesses a Value Score of A.A ...

American Woodmark (AMWD) closed the most recent trading day at $94.28, moving +0.18% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.06%. Elsewhere, the Dow saw an upswing of 0.35%, while the tech-heavy Nasdaq depreciated by 0.76%.Shares of the cabinet maker have appreciated by 1.36% over the course of the past month, underperforming the Consumer Discretionary sector's gain of 2.59% and the S&P 500's gain of 3.36%.The investment community will be paying close attention to ...

Company Performance - American Woodmark (AMWD) closed at $89.22, reflecting a -0.86% change from the previous day's closing price, underperforming the S&P 500's daily gain of 0.08% [1] - The stock has decreased by 3.97% over the past month, while the Consumer Discretionary sector has lost 0.13% and the S&P 500 has gained 2.4% [1] - The upcoming earnings report is expected to show EPS of $1.13, down 22.6% year-over-year, with projected net sales of $366.9 million, down 23.68% from the previous year [1] Earnings Estimates - For the full year, the Zacks Consensus Estimates project earnings of $8.47 per share and revenue of $1.79 billion, reflecting changes of +11.15% and -13.31% respectively from the prior year [2] - Recent modifications to analyst estimates are crucial as they indicate short-term business trends, with positive revisions suggesting optimism about the company's outlook [2] Valuation Metrics - American Woodmark has a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate remaining unchanged over the last 30 days [3] - The company is trading at a Forward P/E ratio of 10.62, which is a discount compared to the industry average Forward P/E of 15.27 [3] - The PEG ratio for AMWD is 0.82, indicating a lower valuation relative to the Furniture industry's average PEG ratio of 1.12 [3] Industry Overview - The Furniture industry is part of the Consumer Discretionary sector and holds a Zacks Industry Rank of 30, placing it in the top 12% of over 250 industries [4] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [4]

WINCHESTER, Va.--(BUSINESS WIRE)--American Woodmark Corporation (NASDAQ: AMWD), a leading supplier of cabinetry to the new construction and remodeling industries, today announced that Philip Fracassa has joined its board of directors. Mr. Fracassa has served as executive vice president and chief financial officer of The Timken Company (NYSE: TKR), a global leader in engineered bearings and industrial motion products, since 2014. Fracassa joined Timken in 2005 and progressed through several key roles dur ...

Company Performance - American Woodmark (AMWD) ended the recent trading session at $89.83, showing a +1.23% change from the previous day's closing price, which is less than the S&P 500's daily gain of 1.41% [1] - Over the previous month, shares of American Woodmark gained 0.62%, underperforming the Consumer Discretionary sector's gain of 3.64% and the S&P 500's gain of 2.9% [1] - Analysts expect American Woodmark to report earnings of $1.15 per share in the upcoming earnings disclosure, reflecting a year-over-year decline of 21.23%, with projected net sales of $366.9 million, down 23.68% from the previous year [1] Full Year Estimates - For the full year, analysts expect earnings of $8.47 per share and revenue of $1.79 billion, indicating changes of +11.15% and -13.31% respectively from last year [2] - Recent changes to analyst estimates for American Woodmark are important as they reflect evolving short-term business trends, with positive revisions seen as a good sign for the company's outlook [2] Zacks Rank and Valuation - American Woodmark currently holds a Zacks Rank of 3 (Hold), with a consensus EPS projection that has moved 4.03% higher in the past 30 days [3] - The company is trading at a Forward P/E ratio of 10.47, which is a discount compared to the industry's average Forward P/E of 14.9 [3] - The PEG ratio for AMWD is 0.81, indicating a favorable valuation compared to the Furniture industry's average PEG ratio of 1.04 [3] Industry Overview - The Furniture industry, part of the Consumer Discretionary sector, has a Zacks Industry Rank of 27, placing it in the top 11% of over 250 industries [4] - The strength of individual industry groups is measured by the Zacks Industry Rank, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [4]

Financial Data and Key Metrics Changes - The company reported net sales of $473.9 million, a decline of 15.6% compared to the prior year [6][13] - Adjusted EBITDA increased by 7% to $72.3 million, representing 15.3% of net sales [8][15] - Reported EPS was $1.85, while adjusted EPS was $2.36, showing an increase from $2.24 in the previous year [8][14] - Gross profit margin improved by 420 basis points to 21.8% from 17.6% year-over-year [13][14] - Free cash flow totaled $109.9 million year-to-date, up from $44.4 million in the prior year [16] Business Line Data and Key Metrics Changes - New construction sales declined by 11.1% year-over-year [6][13] - Remodel net sales, which includes home centers and independent dealers, decreased by 18.8% [13] - Home center business was down 18.3%, while dealer and distributor business saw a 20% decline [7][13] Market Data and Key Metrics Changes - The company is strategically aligned with 19 of the top 20 national builders, indicating a strong market position despite the downturn [7] - Macroeconomic factors such as interest rates and housing affordability are impacting new construction and remodel demand [6][7] Company Strategy and Development Direction - The company’s strategy focuses on three main pillars: growth, digital transformation, and platform design [10] - Plans include launching a low SKU, high-value offering targeting professionals and a new brand for distribution customers [10] - Ongoing digital transformation efforts include ERP implementation and website enhancements [10][11] Management's Comments on Operating Environment and Future Outlook - Management expects low double-digit declines in net sales for fiscal year 2024, influenced by economic growth trends and consumer behavior [18] - Adjusted EBITDA expectations have been raised to a range of $235 million to $250 million due to strong operational performance [18] - The company anticipates challenges in the remodel market but sees potential for slight growth in new construction in 2024 [58] Other Important Information - The company has a cash balance of $96.4 million and access to an additional $323.2 million under its revolving credit facility [9][17] - A new $125 million share repurchase program has been authorized, replacing the previous program [9][17] Q&A Session Summary Question: Insights on in-stock and made-to-order categories in R&R - Management noted negative trends in both categories, with made-to-order being more severely impacted [22][23] Question: Trade-down effects in new construction - Management indicated they are not seeing significant trade-down pressures, focusing on maintaining a positive mix [24][25] Question: Clarification on raised EBITDA guidance - The raised EBITDA guidance is primarily based on first-half performance, with uncertainty remaining for the second half [27][30] Question: Input costs and trends - Raw material costs have stabilized, but there is upward pressure on labor and transportation costs [34][35] Question: Operational efficiencies and supply chain stabilization - Supply chain stability has improved, and there are ongoing opportunities for operational excellence [41][42] Question: Expectations for third and fourth quarters - The third quarter is expected to be similar to the second, with potential for improved comparisons in the fourth quarter [44] Question: Builder customer affordability and home sizes - Builders are adjusting home sizes to create more affordable products, but kitchen cabinetry demand remains stable [46][48] Question: Outlook for 2024 - There is a wide range of expectations among builders for 2024, with some projecting slight growth [58]