A Preview Of Materion's Earnings

Materion MTRN is set to give its latest quarterly earnings report on Wednesday, 2024-10-30. Here's what investors need to know before the announcement.

Analysts estimate that Materion will report an earnings per share (EPS) of $1.54.

The market awaits Materion's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Performance in Previous Earnings

In the previous earnings release, the company beat EPS by $0.01, leading to a 10.87% increase in the share price the following trading session.

Here's a look at Materion's past performance and the resulting price change:

Tracking Materion's Stock Performance

Shares of Materion were trading at $104.58 as of October 28. Over the last 52-week period, shares are down 0.69%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Opinions on Materion

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Materion.

Materion has received a total of 1 ratings from analysts, with the consensus rating as Buy. With an average one-year price target of $135.0, the consensus suggests a potential 29.09% upside.

Analyzing Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Ivanhoe Electric, MP Materials and Nexa Res, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Ivanhoe Electric, with an average 1-year price target of $14.0, suggesting a potential 86.61% downside.
• Analysts currently favor an Neutral trajectory for MP Materials, with an average 1-year price target of $19.78, suggesting a potential 81.09% downside.
• The prevailing sentiment among analysts is an Buy trajectory for Nexa Res, with an average 1-year price target of $6.0, implying a potential 94.26% downside.

Overview of Peer Analysis

In the peer analysis summary, key metrics for Ivanhoe Electric, MP Materials and Nexa Res are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Materion ranks at the top for Revenue Growth and Gross Profit among its peers. However, it ranks at the bottom for Return on Equity.

Delving into Materion's Background

Materion Corp is a producer of engineered materials based in the United States. The company produces materials used in electrical, electronic, thermal, and structural applications. The company operates in four reportable segments: Performance Materials, Electronic Materials, Precision Optics, and Other. The majority of revenue is derived from Electronic Materials which produces chemicals, microelectronics packaging, precious metal, non-precious metal, and specialty metal products, including vapor deposition targets, frame lid assemblies, clad and precious metal pre-forms, high temperature braze materials, and ultra-pure wire.

Materion: Financial Performance Dissected

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Materion displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 6.85%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Materials sector.

Net Margin: Materion's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 4.47%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Materion's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.12% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Materion's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.05% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.61, Materion adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Materion visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.