Commercial vehicle retailer Rush Enterprises (NASDAQ:RUSH.A) will be reporting earnings this Tuesday after market hours. Here’s what investors should know.
Rush Enterprises beat analysts’ revenue expectations by 5.7% last quarter, reporting revenues of $1.88 billion, flat year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ revenue estimates.
Is Rush Enterprises a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Rush Enterprises’s revenue to decline 14% year on year to $1.73 billion, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.69 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Rush Enterprises has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 4.7% on average.
Looking at Rush Enterprises’s peers in the industrial distributors segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Richardson Electronics delivered year-on-year revenue growth of 5.7%, beating analysts’ expectations by 4.8%, and SiteOne reported revenues up 3.2%, falling short of estimates by 0.9%. Richardson Electronics traded down 11.7% following the results while SiteOne was up 7%.
Read our full analysis of Richardson Electronics’s results here and SiteOne’s results here.
There has been positive sentiment among investors in the industrial distributors segment, with share prices up 8.1% on average over the last month. Rush Enterprises is up 14.2% during the same time and is heading into earnings with an average analyst price target of $69.33 (compared to the current share price of $71.57).
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