Electronic components and systems provider OSI Systems (NASDAQ:OSIS) will be reporting earnings tomorrow morning. Here’s what to look for.
OSI Systems beat analysts’ revenue expectations by 8% last quarter, reporting revenues of $344 million, up 23.2% year on year. It was a stunning quarter for the company, with an impressive beat of analysts’ EBITDA estimates.
Is OSI Systems a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting OSI Systems’s revenue to grow 8.9% year on year to $406.6 million, slowing from the 26.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.33 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. OSI Systems has missed Wall Street’s revenue estimates three times over the last two years.
Looking at OSI Systems’s peers in the electrical equipment segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Acuity Brands delivered year-on-year revenue growth of 1.8%, meeting analysts’ expectations, and Teledyne reported revenues up 5.4%, topping estimates by 3.4%. Acuity Brands’s stock price was unchanged following the results.
Read our full analysis of Acuity Brands’s results here and Teledyne’s results here.
There has been positive sentiment among investors in the electrical equipment segment, with share prices up 5.3% on average over the last month. OSI Systems is down 1.4% during the same time and is heading into earnings with an average analyst price target of $191.67 (compared to the current share price of $173.70).
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