Let’s take a quick look at where covering sell-side analysts see Polaris Industries Inc. (NYSE:PII) headed in the future. Analysts polled by Thomson Reuters have a current consensus target on company stock of $85.13. It is important to note that target price projections can be quite different from analyst to analyst. Covering analysts use their acquired knowledge and expertise to help create their best calculation of where they think the stock may be moving near-term.
Sell-side analysts are able to use multiple metrics in order to help calculate target price estimates. A widely used metric is a company’s preice to earnings ratio. This calculation is derived from dividing the current share price by the projected earnings per share. Polaris Industries Inc. Common currently has a P/E Ratio of 26.43. Investors might also evaluate a company’s PEG or price to earnings growth ratio. The PEG ratio represents the ratio of the price to earnings to the anticipated future growth rate of the company. If a company has a PEG Ratio under one, it may be seen as undervalued. If a company has a PEG Ratio over one, it may represent that the company is overvalued. A PEG Ratio near one may be viewed as fair value. Currently, the company has a PEG Ratio of 1.11.
Looking at stock performance, company shares have recently traded $0.91 away from the 50-day moving average of $85.50 and $2.67 away from the 200-day moving average of $83.74. The stock has been recently noted -17.11% off of the 52-week high of 104.25 and +23.20% off of the 52-week low of 70.14. Monitoring the stock price relative to moving averages and highs and lows for the year may help evaluate the value of the stock in the future.