Electrical safety company Atkore (NYSE: ATKR) will be reporting results tomorrow before market open. Here’s what to look for.
Atkore missed analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $661.6 million, down 17.1% year on year. It was a softer quarter for the company, with full-year EBITDA guidance missing analysts’ expectations.
Is Atkore a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Atkore’s revenue to decline 12% year on year to $697.6 million, in line with the 11.5% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.77 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. Atkore has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Atkore’s peers in the electrical systems segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Allegion delivered year-on-year revenue growth of 5.4%, beating analysts’ expectations by 2%, and Vertiv reported revenues up 24.2%, topping estimates by 5.2%. Allegion traded up 7.9% following the results while Vertiv was also up 16.8%.
Read our full analysis of Allegion’s results here and Vertiv’s results here.
There has been positive sentiment among investors in the electrical systems segment, with share prices up 13% on average over the last month. Atkore is up 23.1% during the same time and is heading into earnings with an average analyst price target of $72.67 (compared to the current share price of $66.52).
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