3D measurement and imaging company FARO (NASDAQGS:FARO) will be reporting results tomorrow after market hours. Here's what you need to know.
FARO beat analysts' revenue expectations by 3.9% last quarter, reporting revenues of $84.24 million, flat year on year. It was a solid quarter for the company, with a decent beat of analysts' earnings estimates.
Is FARO a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting FARO's revenue to decline 5.2% year on year to $83.65 million, a reversal from the 10.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.01 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. FARO has a history of exceeding Wall Street's expectations, beating revenue estimates every single time over the past two years by 3.2% on average.
Looking at FARO's peers in the inspection instruments segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Badger Meter delivered year-on-year revenue growth of 23.2%, beating analysts' expectations by 6.5%, and Itron reported revenues up 12.6%, topping estimates by 1.6%. Badger Meter traded up 3.7% following the results while Itron was down 2.2%.
Read our full analysis of Badger Meter's results here and Itron's results here.
Investors in the inspection instruments segment have had steady hands going into earnings, with share prices up 1.6% on average over the last month. FARO is down 15.5% during the same time and is heading into earnings with an average analyst price target of $28 (compared to the current share price of $13.9).
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