Industrial component provider Timken (NYSE: TKR) will be reporting results this Wednesday morning. Here’s what you need to know.
Timken beat analysts’ revenue expectations last quarter, reporting revenues of $1.11 billion, up 3.5% year on year. It was a very strong quarter for the company, with an impressive beat of analysts’ organic revenue estimates and an impressive beat of analysts’ adjusted operating income estimates.
Is Timken a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Timken’s revenue to grow 2.9% year on year, a reversal from the 4.2% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Timken has a history of exceeding Wall Street’s expectations.
Looking at Timken’s peers in the engineered components and systems segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Worthington delivered year-on-year revenue growth of 24.4%, beating analysts’ expectations by 8.6%, and Applied Industrial reported revenues up 7.3%, topping estimates by 2.2%. Worthington traded down 4.6% following the results while Applied Industrial’s stock price was unchanged.
Read our full analysis of Worthington’s results here and Applied Industrial’s results here.
There has been positive sentiment among investors in the engineered components and systems segment, with share prices up 7.6% on average over the last month. Timken is up 8.3% during the same time and is heading into earnings with an average analyst price target of $113.64 (compared to the current share price of $107.11).
WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it.
This is what the early days of Palantir looked like before it became a $437 billion giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.
