Industrial technology solutions provider EnPro Industries (NYSE: NPO) will be reporting earnings this Tuesday before the bell. Here’s what to expect.
Enpro beat analysts’ revenue expectations last quarter, reporting revenues of $338.8 million, up 17.6% year on year. It was an exceptional quarter for the company, with full-year EBITDA guidance exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates.
Is Enpro 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 Enpro’s revenue to grow 16.5% year on year, improving from the 9.9% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Enpro has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Enpro’s peers in the engineered components and systems segment, some have already reported their Q3 results, giving us a hint as to what we can expect. NN delivered year-on-year revenue growth of 26.2%, beating analysts’ expectations by 11%, and RBC Bearings reported revenues up 15.2%, topping estimates by 2%. NN traded up 2.9% following the results.
Read our full analysis of NN’s results here and RBC Bearings’s results here.
Over the past year, investors have repeatedly shifted their focus from one macro narrative to another (AI disruption and AI capex spending to geopolitics, interest rates, and the broader health of the economy). While some of the engineered components and systems stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3% on average over the last month. Enpro is down 18.4% during the same time and is heading into earnings with an average analyst price target of $389.50 (compared to the current share price of $271.55).
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