## Quad/Graphics (QUAD) Earnings Preview: What to Expect on October 28th
Get ready for the upcoming earnings report from Quad/Graphics (QUAD), scheduled for release on Monday, October 28th. This release is a crucial event for investors looking to gauge the company’s financial health and future prospects. Analysts are predicting an earnings per share (EPS) of $0.23, but the real excitement lies in the company’s guidance for the next quarter. Investors will be hoping to hear positive news on both fronts, with expectations running high for exceeding estimates and a promising outlook for the future.
A Look Back: Quad/Graphics’s Recent Earnings History
Before we delve into the anticipation surrounding the upcoming report, let’s examine Quad/Graphics’s recent earnings performance. Last quarter, the company surpassed EPS estimates by $0.04, but this positive news was followed by a 18.39% drop in the share price the next day. This highlights the critical role that guidance plays in market reactions, often eclipsing even strong earnings results. Here’s a quick snapshot of Quad/Graphics’s recent earnings history and the corresponding price changes:
| Quarter | EPS Estimate | EPS Actual | Price Change % |
|—|—|—|—|
| Q2 2024 | $0.08 | $0.12 | -18.0% |
| Q1 2024 | $0.02 | $0.10 | 1.0% |
| Q4 2023 | $0.13 | $0.23 | -9.0% |
| Q3 2023 | $0.05 | $0.11 | -13.0% |
Analyzing Quad/Graphics’s Stock Performance and Analyst Perspectives
As of October 24th, shares of Quad/Graphics were trading at $5.46. Over the past 52 weeks, shares have climbed by 2.82%, a positive sign indicating long-term bullish sentiment among shareholders. However, the impact of the upcoming earnings report remains to be seen.
To gain a clearer picture of market expectations, it’s essential to consider analyst perspectives. Analysts have awarded Quad/Graphics a total of 5 ratings, with the consensus rating being ‘Buy’. The average one-year price target stands at $7.96, suggesting a potential 45.79% upside from current levels.
Benchmarking Quad/Graphics Against Its Peers
To understand how Quad/Graphics stacks up against its competitors, we’ve compiled a comparison of analyst ratings and average 1-year price targets for three prominent industry players. This analysis offers insights into their relative performance expectations and market positioning.
Peer Metrics Summary
In this peer analysis summary, we present vital metrics for Quad/Graphics and its competitors, shedding light on their respective standings within the industry. These metrics provide valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|—|—|—|—|—|
| Quad/Graphics | Buy | -9.80% | $140.30M | -3.33% |
| [Competitor 1] | [Rating] | [Growth Rate] | [Profit] | [ROE] |
| [Competitor 2] | [Rating] | [Growth Rate] | [Profit] | [ROE] |
| [Competitor 3] | [Rating] | [Growth Rate] | [Profit] | [ROE] |
Key Takeaways
While Quad/Graphics holds a ‘Buy’ consensus rating, it lags behind its peers in terms of revenue growth and gross profit. It also sits at the bottom in terms of return on equity. This suggests that Quad/Graphics might face challenges in achieving sustainable growth compared to its competitors.
A Closer Look at Quad/Graphics: Business and Financial Highlights
Quad/Graphics Inc. specializes in providing print and marketing services to help customers market their products, services, and content. Operating in the commercial segment of the printing industry, Quad/Graphics operates through three divisions:
*
United States Print and Related Services Segment:
Includes the company’s American operations, offering a complete suite of print and marketing solutions, along with ink manufacturing.*
International Segment:
Encompasses Quad/Graphics’s printing businesses in Europe and Latin America.*
Corporate Segment:
Focuses on general and administrative activities and associated costs.The company derives almost all of its revenue from the American domestic market.
Analyzing Quad/Graphics’s Financial Performance:
Market Capitalization:
Quad/Graphics’s market capitalization is below the industry average, indicating a relatively smaller size compared to its peers. This could be attributed to various factors, including perceived growth potential or operational scale.Revenue Growth:
Quad/Graphics’s revenue growth over the past three months has faced difficulties. As of June 30th, 2024, the company experienced a decline of approximately -9.8%. While this represents a decrease in top-line earnings, the company has outperformed expectations by achieving a growth rate higher than the average among peers in the Industrials sector.Net Margin:
Quad/Graphics stands out with an impressive net margin of -0.44%, exceeding industry averages. This demonstrates strong profitability and effective cost control.Return on Equity (ROE):
Quad/Graphics’s ROE falls below industry averages, suggesting potential challenges in efficiently utilizing equity capital. With an ROE of -3.33%, the company may encounter hurdles in achieving optimal financial returns.Return on Assets (ROA):
Similarly, Quad/Graphics’s ROA is below industry standards, hinting at difficulties in effectively leveraging assets. With an ROA of -0.2%, the company may face challenges in generating satisfactory returns from its assets.Debt Management:
A high debt-to-equity ratio of 8.1 indicates that Quad/Graphics faces challenges in effectively managing its debt levels, potentially leading to financial strain.Stay Updated on Quad/Graphics’s Earnings Releases:
For comprehensive coverage of all Quad/Graphics earnings releases, visit the dedicated earnings calendar on our website. This comprehensive resource provides timely updates and insights to keep you informed about the company’s financial performance.
