Manufacturing company Nordson (NASDAQ:NDSN) will be announcing earnings results tomorrow after market hours. Here’s what investors should know.
Nordson missed analysts’ revenue expectations by 3.5% last quarter, reporting revenues of $615.4 million, down 2.8% year on year. It was a softer quarter for the company, with a significant miss of analysts’ organic revenue estimates and a miss of analysts’ EBITDA estimates.
Is Nordson a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Nordson’s revenue to grow 3.9% year on year to $675.7 million, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $2.36 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. Nordson has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Nordson’s peers in the professional tools and equipment segment, some have already reported their Q1 results, giving us a hint as to what we can expect. ESAB’s revenues decreased 1.7% year on year, beating analysts’ expectations by 2.2%, and Kennametal reported a revenue decline of 5.7%, in line with consensus estimates. ESAB traded up 3.1% following the results while Kennametal was also up 4.7%.
Read our full analysis of ESAB’s results here and Kennametal’s results here.
There has been positive sentiment among investors in the professional tools and equipment segment, with share prices up 7.9% on average over the last month. Nordson is up 1.9% during the same time and is heading into earnings with an average analyst price target of $243.29 (compared to the current share price of $192.26).
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