Engineered products manufacturer ESCO (NYSE:ESE) will be announcing earnings results tomorrow afternoon. Here's what to expect.
ESCO met analysts' revenue expectations last quarter, reporting revenues of $249.1 million, up 8.7% year on year. It was an ok quarter for the company, with a decent beat of analysts' earnings estimates.
Is ESCO a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting ESCO's revenue to grow 11.6% year on year to $277.5 million, slowing from the 13.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.20 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. ESCO has missed Wall Street's revenue estimates twice over the last two years.
Looking at ESCO's peers in the engineered components and systems segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Arrow Electronics's revenues decreased 19% year on year, beating analysts' expectations by 5.7%, and Regal Rexnord reported a revenue decline of 12.5%, topping estimates by 2.7%. Arrow Electronics traded up 1.7% following the results while Regal Rexnord was also up 1.4%.
Read our full analysis of Arrow Electronics's results here and Regal Rexnord's results here.
Investors in the engineered components and systems segment have had steady hands going into earnings, with share prices flat over the last month. ESCO is up 9.1% during the same time and is heading into earnings with an average analyst price target of $123.3 (compared to the current share price of $112.02).
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