Q3 Earnings Outperformers: Corning (NYSE:GLW) And The Rest Of The Electronic Components Stocks

The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how electronic components stocks fared in Q3, starting with Corning (NYSE:GLW).

Like many equipment and component manufacturers, electronic components companies are buoyed by secular trends such as connectivity and industrial automation. More specific pockets of strong demand include data centers and telecommunications, which can benefit companies whose optical and transceiver offerings fit those markets. But like the broader industrials sector, these companies are also at the whim of economic cycles. Consumer spending, for example, can greatly impact these companies’ volumes.

The 10 electronic components stocks we track reported an exceptional Q3. As a group, revenues beat analysts’ consensus estimates by 4.5% while next quarter’s revenue guidance was in line.

While some electronic components stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 4.9% since the latest earnings results.

Corning (NYSE:GLW)

Supplying windows for some of the United States’s earliest spacecraft, Corning (NYSE:GLW) provides glass and other electronic components for the consumer electronics, telecommunications, automotive, and healthcare industries.

Corning reported revenues of $4.27 billion, up 14.4% year on year. This print exceeded analysts’ expectations by 3.9%. Overall, it was a strong quarter for the company with an impressive beat of analysts’ revenue estimates.

The stock is down 7.1% since reporting and currently trades at $83.35.

Is now the time to buy Corning? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Vicor (NASDAQ:VICR)

Founded by a researcher at the Massachusetts Institute of Technology, Vicor (NASDAQ:VICR) provides electrical power conversion and delivery products for a range of industries.

Vicor reported revenues of $110.4 million, up 18.5% year on year, outperforming analysts’ expectations by 15.7%. The business had an incredible quarter with a beat of analysts’ EPS and EBITDA estimates.

Vicor scored the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 31.5% since reporting. It currently trades at $86.52.

Is now the time to buy Vicor? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Novanta (NASDAQ:NOVT)

Originally a pioneer in the laser scanning industry during the late 1960s, Novanta (NASDAQ:NOVT) offers medicine and manufacturing technology to the medical, life sciences, and manufacturing industries.

Novanta reported revenues of $247.8 million, up 1.4% year on year, exceeding analysts’ expectations by 0.8%. Still, it was a slower quarter as it posted a significant miss of analysts’ EBITDA estimates.

Novanta delivered the slowest revenue growth in the group. As expected, the stock is down 25.4% since the results and currently trades at $101.31.

Read our full analysis of Novanta’s results here.

Allient (NASDAQ:ALNT)

Founded in 1962, Allient (NASDAQ:ALNT) develops and manufactures precision and specialty-controlled motion components and systems.

Allient reported revenues of $138.7 million, up 10.8% year on year. This result surpassed analysts’ expectations by 3.4%. It was a stunning quarter as it also recorded an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ revenue estimates.

The stock is down 5.6% since reporting and currently trades at $50.52.

Read our full, actionable report on Allient here, it’s free for active Edge members.

Belden (NYSE:BDC)

With its enamel-coated copper wire used in WWI for the Allied forces, Belden (NYSE:BDC) designs, manufactures, and sells electronic components to various industries.

Belden reported revenues of $698.2 million, up 6.6% year on year. This number topped analysts’ expectations by 2.9%. Overall, it was a strong quarter as it also produced an impressive beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ Enterprise revenue estimates.

The stock is down 8.8% since reporting and currently trades at $108.92.

Read our full, actionable report on Belden here, it’s free for active Edge members.

Market Update

The Fed’s interest rate hikes throughout 2022 and 2023 have successfully cooled post-pandemic inflation, bringing it closer to the 2% target. Inflationary pressures have eased without tipping the economy into a recession, suggesting a soft landing. This stability, paired with recent rate cuts (0.5% in September 2024 and 0.25% in November 2024), fueled a strong year for the stock market in 2024. The markets surged further after Donald Trump’s presidential victory in November, with major indices reaching record highs in the days following the election. Still, questions remain about the direction of economic policy, as potential tariffs and corporate tax changes add uncertainty for 2025.

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