Earnings Outlook For Koppers Hldgs

Koppers Hldgs KOP is set to give its latest quarterly earnings report on Friday, 2024-11-08. Here's what investors need to know before the announcement.

Analysts estimate that Koppers Hldgs will report an earnings per share (EPS) of $1.34.

The market awaits Koppers Hldgs'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.

Overview of Past Earnings

In the previous earnings release, the company beat EPS by $0.09, leading to a 1.72% drop in the share price the following trading session.

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

Performance of Koppers Hldgs Shares

Shares of Koppers Hldgs were trading at $38.98 as of November 06. Over the last 52-week period, shares are down 7.35%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Insights Shared by Analysts on Koppers Hldgs

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Koppers Hldgs.

The consensus rating for Koppers Hldgs is Outperform, based on 3 analyst ratings. With an average one-year price target of $64.0, there's a potential 64.19% upside.

Comparing Ratings with Competitors

In this comparison, we explore the analyst ratings and average 1-year price targets of Origin Mat, Kronos Worldwide and Tronox Holdings, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• The prevailing sentiment among analysts is an Buy trajectory for Origin Mat, with an average 1-year price target of $3.0, implying a potential 92.3% downside.
• As per analysts' assessments, Kronos Worldwide is favoring an Underperform trajectory, with an average 1-year price target of $10.0, suggesting a potential 74.35% downside.
• Tronox Holdings is maintaining an Outperform status according to analysts, with an average 1-year price target of $17.86, indicating a potential 54.18% downside.

Peers Comparative Analysis Summary

The peer analysis summary outlines pivotal metrics for Origin Mat, Kronos Worldwide and Tronox Holdings, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Koppers Hldgs ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit. For Return on Equity, Koppers Hldgs is at the top.

Delving into Koppers Hldgs's Background

Koppers Holdings Inc through its subsidiaries, manufactures and sells wood products, wood treatment chemicals, and carbon compounds used in markets such as railroad, aluminum and steel, agriculture, utilities, and residential lumber. The company is organized into three business segments: railroad and utility products and services, performance chemicals, and carbon materials and chemicals. Its product portfolio includes treated and untreated wood products like crossties used in railroads, wood preservation chemicals, and carbon compounds such as creosote used in the treatment of wood crossties, among others. The majority of its revenue comes from the company's railroad and utility products and services segment, and more than half of the company's revenue is earned in the United States.

Koppers Hldgs's Economic Impact: An Analysis

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Negative Revenue Trend: Examining Koppers Hldgs's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -2.43% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Materials sector.

Net Margin: Koppers Hldgs's net margin excels beyond industry benchmarks, reaching 4.76%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Koppers Hldgs's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 5.28%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Koppers Hldgs's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.41% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Koppers Hldgs's debt-to-equity ratio is below the industry average at 2.12, reflecting a lower dependency on debt financing and a more conservative financial approach.

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

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