Wall Street analysts expect Illinois Tool Works (ITW) to post quarterly earnings of $2.34 per share in its upcoming report, which indicates a year-over-year decline of 4.1%. Revenues are expected to be $3.84 billion, down 3.3% from the year-ago quarter.
The consensus EPS estimate for the quarter has been revised 0.2% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
With that in mind, let's delve into the average projections of some Illinois Tool Works metrics that are commonly tracked and projected by analysts on Wall Street.
The consensus estimate for 'Operating Revenues- Test & Measurement and Electronics' stands at $672.59 million. The estimate indicates a change of -3.4% from the prior-year quarter.
Analysts expect 'Operating Revenues- Construction Products' to come in at $452.05 million. The estimate points to a change of -7.4% from the year-ago quarter.
The average prediction of analysts places 'Operating Revenues- Food Equipment' at $618.05 million. The estimate indicates a year-over-year change of -2.1%.
It is projected by analysts that the 'Operating Revenues- Specialty Products' will reach $422.93 million. The estimate suggests a change of -3.9% year over year.
Analysts predict that the 'Operating Revenues- Automotive OEM' will reach $782.57 million. The estimate indicates a year-over-year change of -4.1%.
The consensus among analysts is that 'Operating Revenues- Welding' will reach $460.45 million. The estimate indicates a year-over-year change of -3.3%.
The collective assessment of analysts points to an estimated 'Operating Revenues- Polymers & Fluids' of $423.16 million. The estimate suggests a change of -2.1% year over year.
Analysts' assessment points toward 'Operating Revenue - Automotive OEM - Organic growth' reaching -1.0%. Compared to the present estimate, the company reported 3.4% in the same quarter last year.
The combined assessment of analysts suggests that 'Operating Revenue - Specialty Products - Organic growth' will likely reach -1.4%. The estimate is in contrast to the year-ago figure of 5.5%.
According to the collective judgment of analysts, 'Operating Income- Automotive OEM' should come in at $151.73 million. The estimate is in contrast to the year-ago figure of $162 million.
Analysts forecast 'Operating Income- Food Equipment' to reach $160.61 million. The estimate compares to the year-ago value of $164 million.
Based on the collective assessment of analysts, 'Operating Income- Test & Measurement and Electronics' should arrive at $158.07 million. Compared to the present estimate, the company reported $163 million in the same quarter last year.
View all Key Company Metrics for Illinois Tool Works here>>>
Shares of Illinois Tool Works have demonstrated returns of -3.9% over the past month compared to the Zacks S&P 500 composite's -4.8% change. With a Zacks Rank #3 (Hold), ITW is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Illinois Tool Works Inc. (ITW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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