Why Keysight Technologies Stock Is Trading Lower

Keysight Technologies Inc KEYS shares are trading lower by 7.09% to $170.00 Wednesday morning after the company reported first-quarter financial results and issued guidance.

What Happened?

Keysight Technologies reported quarterly earnings of $2.02 per share, which beat the analyst consensus estimate of $1.85 by 9.19%. The company also reported quarterly sales of $1.38 billion, which beat the analyst consensus estimate of $1.37 billion by around 1%. This sales figure is also a 10.5% increase over sales of $1.25 billion in the same period last year.

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Worse-than-expected guidance is likely what's sending the stock lower Wednesday morning. Keysight Technologies sees first-quarter EPS in the range of $1.91-$1.97 versus the analyst consensus estimate of $1.94. The company meanwhile sees FY23 revenue in the range of $1.37 billion-$1.39 billion versus the analyst consensus estimate of $1.4 billion.

What Else?

"Keysight delivered strong first quarter financial results, with revenue and earnings per share exceeding the high end of guidance. Our consistent performance is due to the resilience of our business, deep customer collaborations, and differentiated solutions portfolio," said Satish Dhanasekaran, Keysight's president and CEO.

"With demand moderating, we are staying disciplined and remain confident in the secular, long-term growth trends of our markets."

According to data from Benzinga Pro, KEYS has a 52-week high of $189.45 and a 52-week low of $127.93.