Government engineering solutions provider Amentum Holdings (NYSE:AMTM) will be announcing earnings results this Monday after the bell. Here’s what to look for.
Amentum beat analysts’ revenue expectations by 9% last quarter, reporting revenues of $3.93 billion, up 10.1% year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ revenue estimates but a miss of analysts’ full-year EPS guidance estimates.
Is Amentum a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Amentum’s revenue to decline 2.8% year on year to $3.32 billion, a reversal from the 2.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.52 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. Amentum has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3.8% on average.
Looking at Amentum’s peers in the government & technical consulting segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Jacobs Solutions delivered year-on-year revenue growth of 58.1%, beating analysts’ expectations by 6.5%, and Booz Allen Hamilton reported a revenue decline of 10.2%, falling short of estimates by 3.8%. Jacobs Solutions traded up 7.8% following the results while Booz Allen Hamilton was down 1.9%.
Read our full analysis of Jacobs Solutions’s results here and Booz Allen Hamilton’s results here.
Investors in the government & technical consulting segment have had fairly steady hands going into earnings, with share prices down 1.9% on average over the last month. Amentum is up 12.9% during the same time and is heading into earnings with an average analyst price target of $36.18 (compared to the current share price of $37.70).
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