Security systems manufacturer Napco (NASDAQ: NSSC) will be reporting results this Monday before market hours. Here’s what to expect.
Napco beat analysts’ revenue expectations by 14.1% last quarter, reporting revenues of $50.72 million, flat year on year. It was an incredible quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ revenue estimates.
Is Napco a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Napco’s revenue to grow 6.6% year on year to $46.91 million, improving from the 5.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.30 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. Napco has missed Wall Street’s revenue estimates twice since going public.
Looking at Napco’s peers in the specialized technology segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Mirion delivered year-on-year revenue growth of 7.9%, meeting analysts’ expectations, and OSI Systems reported revenues up 11.8%, topping estimates by 4.9%. Mirion traded up 18.1% following the results while OSI Systems was also up 14.4%.
Read our full analysis of Mirion’s results here and OSI Systems’s results here.
Debates around the economy’s health and the impact of potential tariffs and corporate tax cuts have caused much uncertainty in 2025. While some of the specialized technology stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.8% on average over the last month. Napco is up 3.8% during the same time and is heading into earnings with an average analyst price target of $44.50 (compared to the current share price of $44.28).
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