Graco Earnings: What To Look For From GGG

Fluid and coating equipment company Graco (NYSE:GGG) will be reporting results tomorrow afternoon. Here’s what investors should know.

Graco missed analysts’ revenue expectations by 1.4% last quarter, reporting revenues of $548.7 million, down 3.2% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ adjusted operating income estimates.

Is Graco a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Graco’s revenue to grow 6.9% year on year to $526.2 million, a reversal from the 7.1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.67 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Graco has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Graco’s peers in the industrial machinery segment, some have already reported their Q1 results, giving us a hint as to what we can expect. GE Aerospace posted flat year-on-year revenue, missing analysts’ expectations by 7.9%, and Worthington reported a revenue decline of 3.9%, topping estimates by 6.7%. Worthington traded up 24% following the results.

Read our full analysis of GE Aerospace’s results here and Worthington’s results here.

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