A Look Ahead: Faro Technologies's Earnings Forecast

Faro Technologies FARO is set to give its latest quarterly earnings report on Thursday, 2025-04-24. Here's what investors need to know before the announcement.

Analysts estimate that Faro Technologies will report an earnings per share (EPS) of $0.09.

The market awaits Faro Technologies'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.

Earnings Track Record

Last quarter the company beat EPS by $0.10, which was followed by a 17.33% increase in the share price the next day.

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

Performance of Faro Technologies Shares

Shares of Faro Technologies were trading at $24.09 as of April 22. Over the last 52-week period, shares are up 43.09%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Observations about Faro Technologies

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Faro Technologies.

Analysts have provided Faro Technologies with 1 ratings, resulting in a consensus rating of Buy. The average one-year price target stands at $37.0, suggesting a potential 53.59% upside.

Analyzing Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Red Cat Hldgs, PowerFleet and Ouster, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Red Cat Hldgs, with an average 1-year price target of $13.0, suggesting a potential 46.04% downside.
• Analysts currently favor an Outperform trajectory for PowerFleet, with an average 1-year price target of $13.4, suggesting a potential 44.38% downside.
• Analysts currently favor an Outperform trajectory for Ouster, with an average 1-year price target of $14.67, suggesting a potential 39.1% downside.

Analysis Summary for Peers

Within the peer analysis summary, vital metrics for Red Cat Hldgs, PowerFleet and Ouster are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

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

Unveiling the Story Behind Faro Technologies

Faro Technologies Inc is a technology company. It designs, develops, manufactures, markets and supports software-driven, three-dimensional (3-D) measurement, imaging, and realization solutions for the 3D metrology, architecture, engineering and construction (AEC), Operations and Maintenance (O&M) and public safety analytics markets. The company enables its customers to capture, measure, manipulate, interact with and share 3D and 2D data from the physical world in a virtual environment and then translate the information back into the physical domain. FARO suite of 3D products and software solutions are used for the inspection of components and assemblies, rapid prototyping, reverse engineering, documenting large volumes or structures in 3D, surveying, and construction.

Understanding the Numbers: Faro Technologies's Finances

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Decline in Revenue: Over the 3 months period, Faro Technologies faced challenges, resulting in a decline of approximately -5.37% in revenue growth as of 31 December, 2024. This signifies a reduction in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Faro Technologies's net margin excels beyond industry benchmarks, reaching -1.05%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of -0.39%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Faro Technologies's ROA excels beyond industry benchmarks, reaching -0.2%. This signifies efficient management of assets and strong financial health.

Debt Management: Faro Technologies's debt-to-equity ratio is below the industry average. With a ratio of 0.36, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

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

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