Yahoo Finance What's in the Offing for Stanley Black (SWK) in Q1 Earnings?
Stanley Black & Decker, Inc. SWK is scheduled to release first-quarter 2024 results on May 2, before market open.
The Zacks Consensus Estimate for earnings has increased 3.8% in the past 60 days. The company has an impressive earnings surprise history, having outperformed the consensus estimate in each of the preceding four quarters, the average beat being 41.5%.
The consensus estimate for this New Britain, CT-based tool maker’s revenues is pegged at $3.8 billion, indicating an increase of 2.8% from the year-ago quarter’s figure. The consensus estimate for the company’s adjusted earnings is pinned at 55 cents per share. SWK reported a loss of 41 cents per share in the year-ago quarter.
Let’s see how things might have shaped up for Stanley Black prior to the announcement.
Factors to Note
SWK’s first-quarter 2024 results are expected to gain from the strong momentum in the Engineered Fastening business, driven by strength in the aerospace and auto end markets. The company’s efforts to resize its operations to ensure the resources better serve core businesses are also expected to have boosted its top line.
SWK’s cost-reduction program is likely to have aided its bottom line. The company is expected to put up a healthy margin performance in the upcoming quarterly results, supported by supply-chain transformation and inventory reduction efforts. We anticipate SWK’s adjusted gross margin to be 29.2% compared with 23.1% in the year-ago quarter.
However, lower volume in the infrastructure business and softness in general industrial fastener markets are expected to ail the results of the Industrial segment in the first quarter. We expect revenues from SWK’s segment to decrease 10.9% year over year to $549.2 million.
Decreasing consumer outdoor and do-it-yourself market demand is expected to affect the Tools & Outdoor segment’s results. We anticipate the segment’s revenues to dip 2% on a year-over-year basis to $3.3 billion.
The company’s international presence keeps it exposed to the risk of adverse currency fluctuations. This is likely to have hurt its top line.
Stanley Black & Decker, Inc. Price and EPS Surprise
Stanley Black & Decker, Inc. price-eps-surprise | Stanley Black & Decker, Inc. Quote
Earnings Whispers
Our proven model predicts an earnings beat for Stanley Black this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as elaborated below.
Earnings ESP: Stanley Black has an Earnings ESP of +1.37% as the Most Accurate Estimate is pegged at 56 cents, which is higher than the Zacks Consensus Estimate of 55 cents per share. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: Stanley Black presently carries a Zacks Rank of 3.
Other Stocks to Consider
Here are some other companies within the broader Industrial Products sector, which according to our model, also have the right combination of elements to beat on earnings this reporting cycle.
Chart Industries, Inc. GTLS has an Earnings ESP of +9.86% and a Zacks Rank of 1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is slated to release first-quarter 2024 results on May 3. Chart Industries’ earnings have surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed the mark in one, the average beat being 75.9%.
Clear Secure, Inc. YOU has an Earnings ESP of +17.65% and a Zacks Rank of 1 at present.
The company is slated to release first-quarter results on May 8. YOU delivered a trailing four-quarter earnings surprise of 136.4%, on average.
Axon Enterprise, Inc. AXON has an Earnings ESP of +5.97% and a Zacks Rank of 2 at present.
The company is scheduled to release first-quarter 2024 results on May 6. Axon’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 58.7%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Stanley Black & Decker, Inc. (SWK) : Free Stock Analysis Report
Chart Industries, Inc. (GTLS) : Free Stock Analysis Report
Axon Enterprise, Inc (AXON) : Free Stock Analysis Report
CLEAR Secure, Inc. (YOU) : Free Stock Analysis Report
