Stanley Black & Decker SWK is preparing to release its quarterly earnings on Tuesday, 2024-10-29. Here's a brief overview of what investors should keep in mind before the announcement.
Analysts expect Stanley Black & Decker to report an earnings per share (EPS) of $1.05.
Anticipation surrounds Stanley Black & Decker's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Performance in Previous Earnings
In the previous earnings release, the company beat EPS by $0.25, leading to a 0.41% drop in the share price the following trading session.
Here's a look at Stanley Black & Decker's past performance and the resulting price change:
| Quarter | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 |
|---|---|---|---|---|
| EPS Estimate | 0.84 | 0.54 | 0.79 | 0.83 |
| EPS Actual | 1.09 | 0.56 | 0.92 | 1.05 |
| Price Change % | -0.0% | 1.0% | -1.0% | 6.0% |
Performance of Stanley Black & Decker Shares
Shares of Stanley Black & Decker were trading at $101.98 as of October 25. Over the last 52-week period, shares are up 21.02%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analysts' Take on Stanley Black & Decker
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Stanley Black & Decker.
Analysts have given Stanley Black & Decker a total of 11 ratings, with the consensus rating being Neutral. The average one-year price target is $102.27, indicating a potential 0.28% upside.
Peer Ratings Comparison
In this analysis, we delve into the analyst ratings and average 1-year price targets of IDEX, Pentair and Snap-on, three key industry players, offering insights into their relative performance expectations and market positioning.
- IDEX received a Outperform consensus from analysts, with an average 1-year price target of $233.17, implying a potential 128.64% upside.
- The consensus among analysts is an Outperform trajectory for Pentair, with an average 1-year price target of $110.5, indicating a potential 8.35% upside.
- As per analysts' assessments, Snap-on is favoring an Buy trajectory, with an average 1-year price target of $342.0, suggesting a potential 235.36% upside.
Analysis Summary for Peers
The peer analysis summary offers a detailed examination of key metrics for IDEX, Pentair and Snap-on, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Stanley Black & Decker | Neutral | -3.23% | $1.14B | -0.13% |
| IDEX | Outperform | -4.61% | $366.80M | 3.89% |
| Pentair | Outperform | -1.53% | $393.20M | 4.03% |
| Snap-on | Buy | -1.06% | $587.80M | 4.67% |
Key Takeaway:
Stanley Black & Decker ranks at the bottom for Revenue Growth and Gross Profit, while it is in the middle for Return on Equity among its peers.
Get to Know Stanley Black & Decker Better
Stanley Black & Decker Inc is a manufacturer of hand and power tools. The company operates in two reportable segments namely Tools and Outdoor and Industrial. It generates maximum revenue from the Tools and Outdoor segment. The Tools and Outdoor segment is comprised of the Power Tools Group (PTG), Hand Tools, Accessories and Storage (HTAS), and Outdoor Power Equipment (Outdoor) businesses. Geographically, the company generates revenue from the United States, Canada, Other Americas, Europe, and Asia. It derives a majority of its revenue from the United States.
A Deep Dive into Stanley Black & Decker's Financials
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Stanley Black & Decker's revenue growth over a period of 3 months has faced challenges. As of 30 June, 2024, the company experienced a revenue decline of approximately -3.23%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Industrials sector.
Net Margin: Stanley Black & Decker's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -0.28%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Stanley Black & Decker's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -0.13%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): Stanley Black & Decker's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of -0.05%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: With a high debt-to-equity ratio of 0.76, Stanley Black & Decker faces challenges in effectively managing its debt levels, indicating potential financial strain.
To track all earnings releases for Stanley Black & Decker visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
