Stanley Black & Decker (SWK) Earnings Preview: What to Expect on October 29th
Get ready for another earnings season showdown, as Stanley Black & Decker (SWK) prepares to release its quarterly results on Tuesday, October 29th. Investors will be glued to their screens, hoping for a positive report that could boost the stock’s already impressive 52-week performance. But what should investors expect?
Analysts’ Expectations and Key Focus Areas
Analysts are predicting an earnings per share (EPS) of $1.05. While beating estimates would be a welcome sight, investors are likely to pay even closer attention to the company’s guidance for the upcoming quarter. A positive outlook could signal continued growth and further fuel the stock’s momentum.
Looking Back at Past Performance
Stanley Black & Decker has a history of exceeding EPS estimates. In the previous earnings release, the company beat expectations by $0.25, but this wasn’t enough to prevent a slight dip in share price the following day. Here’s a quick rundown of their recent earnings performance and the resulting market reactions:
| Quarter | EPS Estimate | EPS Actual | Price Change % |
|—|—|—|—|
| Q2 2024 | $0.84 | $1.09 | -0.0% |
| Q1 2024 | $0.54 | $0.56 | 1.0% |
| Q4 2023 | $0.79 | $0.92 | -1.0% |
| Q3 2023 | $0.83 | $1.05 | 6.0% |
Current Market Sentiment and Analyst Insights
Understanding the market’s mood and expert opinions is crucial for investors. Let’s delve into the latest insights on Stanley Black & Decker:
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Analyst Ratings:
The consensus rating among analysts is Neutral, with a total of 11 ratings. The average one-year price target is $102.27, suggesting a potential 0.28% upside.Peer Performance Comparison
To gain a deeper understanding of Stanley Black & Decker’s performance in relation to its competitors, let’s examine key industry players like IDEX, Pentair, and Snap-on. Here’s a comparison of their analyst ratings and average 1-year price targets:
| Company | Consensus Rating | Average 1-Year Price Target | Potential Upside |
|—|—|—|—|
| IDEX | Outperform | $233.17 | 128.64% |
| Pentair | Outperform | $110.5 | 8.35% |
| Snap-on | Buy | $342.0 | 235.36% |
Key Financial Metrics: A Closer Look
Let’s dig into some of Stanley Black & Decker’s key financial metrics, comparing them to its peers:
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|—|—|—|—|—|
| Stanley Black & Decker | Neutral | -3.23% | $1.14B | -0.13% |
| IDEX | Outperform | -4.61% | $366.80M | 3.89% |
| Pentair | Outperform | -1.53% | $393.20M | 4.03% |
| Snap-on | Buy | -1.06% | $587.80M | 4.67% |
Key Takeaways
* Stanley Black & Decker ranks at the bottom in terms of Revenue Growth and Gross Profit compared to its peers. However, it occupies a middle ground when it comes to Return on Equity.
About Stanley Black & Decker
Stanley Black & Decker Inc. is a global leader in the manufacturing of hand and power tools. The company operates through two key segments: Tools & Outdoor and Industrial. The Tools & Outdoor segment generates the majority of revenue and includes the Power Tools Group (PTG), Hand Tools, Accessories and Storage (HTAS), and Outdoor Power Equipment (Outdoor) businesses. The company has a significant presence in the United States, Canada, Other Americas, Europe, and Asia.
Dive Deeper into Stanley Black & Decker’s Finances
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Market Capitalization:
The company has a smaller market capitalization compared to industry averages, suggesting a smaller scale relative to its peers.*
Revenue Growth:
Over the past three months, Stanley Black & Decker has experienced a decline in revenue growth (-3.23%). This indicates a decrease in top-line earnings, falling behind the average growth rate of its peers in the Industrials sector.*
Net Margin:
Stanley Black & Decker’s net margin is below industry averages, indicating potential challenges in maintaining profitability. A net margin of -0.28% suggests the company may face hurdles in effective cost management.*
Return on Equity (ROE):
Stanley Black & Decker’s ROE falls behind industry averages, highlighting difficulties in maximizing returns on equity capital. An ROE of -0.13% indicates potential challenges in achieving optimal financial performance.*
Return on Assets (ROA):
Stanley Black & Decker’s ROA is below industry standards, pointing to difficulties in efficiently utilizing assets. An ROA of -0.05% suggests challenges in delivering satisfactory returns from its assets.*
Debt Management:
A high debt-to-equity ratio of 0.76 indicates challenges in effectively managing debt levels, hinting at potential financial strain.Stay Updated on Stanley Black & Decker’s Earnings Releases
To track all earnings releases for Stanley Black & Decker, visit the earnings calendar on our site. This calendar will keep you informed of all upcoming announcements, helping you stay ahead of the curve in the world of finance.
