Water and fire protection solutions company Core & Main (NYSE:CNM) will be reporting results tomorrow before market hours. Here’s what you need to know.
Core & Main missed analysts’ revenue expectations by 4.5% last quarter, reporting revenues of $1.96 billion, up 5.5% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ adjusted operating income estimates.
Is Core & Main a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Core & Main’s revenue to grow 9% year on year to $1.99 billion, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.66 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. Core & Main has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Core & Main’s peers in the infrastructure distributors segment, some have already reported their Q3 results, giving us a hint as to what we can expect. MRC Global’s revenues decreased 10.2% year on year, meeting analysts’ expectations, and DistributionNOW reported revenues up 3.1%, falling short of estimates by 1.5%. MRC Global traded up 14.4% following the results while DistributionNOW was also up 3.5%.
Read our full analysis of MRC Global’s results here and DistributionNOW’s results here.
There has been positive sentiment among investors in the infrastructure distributors segment, with share prices up 9.7% on average over the last month. Core & Main is up 11.4% during the same time and is heading into earnings with an average analyst price target of $51.31 (compared to the current share price of $48.55).
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