Industrial technology solutions provider EnPro Industries (NYSE:NPO) will be announcing earnings results this Tuesday before market open. Here’s what investors should know.
Enpro met analysts’ revenue expectations last quarter, reporting revenues of $303 million, up 10.9% year on year. It was a strong quarter for the company, with full-year EBITDA guidance exceeding analysts’ expectations and a decent beat of analysts’ EBITDA estimates.
Is Enpro a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Enpro’s revenue to grow 12.3% year on year, improving from the 6% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Enpro has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Enpro’s peers in the engineered components and systems segment, some have already reported their Q2 results, giving us a hint as to what we can expect. RBC Bearings delivered year-on-year revenue growth of 19.2%, beating analysts’ expectations by 2.1%, and Gates Industrial Corporation reported revenues up 6.6%, topping estimates by 1.7%.
Read our full analysis of RBC Bearings’s results here and Gates Industrial Corporation’s results here.
Over the past year, investors have repeatedly shifted their focus from one macro narrative to another (AI disruption and AI capex spending to geopolitics, interest rates, and the broader health of the economy). While some of the engineered components and systems stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 5% on average over the last month. Enpro is down 8.1% during the same time and is heading into earnings with an average analyst price target of $359.25 (compared to the current share price of $313.92).
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