Electronic components manufacturer CTS Corporation (NYSE: CTS) will be announcing earnings results this Wednesday morning. Here’s what to look for.
CTS beat analysts’ revenue expectations last quarter, reporting revenues of $137.3 million, up 8.5% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a slight miss of analysts’ full-year EPS guidance estimates.
Is CTS 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 CTS’s revenue to grow 8.8% year on year, improving from its flat revenue 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. CTS has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at CTS’s peers in the tech hardware & electronics segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Jabil delivered year-on-year revenue growth of 23.1%, beating analysts’ expectations by 6.8%, and Knowles reported revenues up 15.8%, topping estimates by 3.9%. Jabil traded up 1.1% following the results while Knowles was down 2.1%.
Read our full analysis of Jabil’s results here and Knowles’s results here.
There has been positive sentiment among investors in the tech hardware & electronics segment, with share prices up 13.1% on average over the last month. CTS is up 20.2% during the same time and is heading into earnings with an average analyst price target of $54 (compared to the current share price of $56.07).
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.
