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Icahn Enterprises (IEP) Q2 Earnings Report Preview: What To Look For

IEP Cover Image

Holding company and industrial conglomerate Icahn (NYSE: IEP) will be reporting results this Monday before the bell. Here’s what to expect.

Icahn Enterprises missed analysts’ revenue expectations by 29% last quarter, reporting revenues of $1.87 billion, down 24.6% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ EPS estimates.

Is Icahn Enterprises a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Icahn Enterprises’s revenue to grow 8.5% year on year to $2.39 billion, a reversal from the 13.7% decrease it recorded in the same quarter last year.

Icahn Enterprises Total Revenue

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. Icahn Enterprises has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Icahn Enterprises’s peers in the general industrial machinery segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Luxfer delivered year-on-year revenue growth of 4.3%, beating analysts’ expectations by 5.9%, and GE Aerospace reported revenues up 23.4%, topping estimates by 6.5%. Luxfer’s stock price was unchanged after the resultswhile GE Aerospace was down 1.1%.

Read our full analysis of Luxfer’s results here and GE Aerospace’s results here.

Investors in the general industrial machinery segment have had steady hands going into earnings, with share prices flat over the last month. Icahn Enterprises is up 6.3% during the same time and is heading into earnings with an average analyst price target of $12 (compared to the current share price of $9.00).

When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.

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