Diversified manufacturing and supply chain services provider Park-Ohio (NASDAQ: PKOH) will be reporting earnings tomorrow after the bell. Here’s what to look for.
Park-Ohio missed analysts’ revenue expectations last quarter, reporting revenues of $398.6 million, down 4.5% year on year. It was a disappointing quarter for the company, with full-year EPS guidance missing analysts’ expectations significantly and a significant miss of analysts’ revenue estimates.
Is Park-Ohio 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 Park-Ohio’s revenue to grow 3.7% year on year, improving from its flat revenue 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 to stay the course heading into earnings.
Looking at Park-Ohio’s peers in the engineered components and systems segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Arrow Electronics delivered year-on-year revenue growth of 20.1%, beating analysts’ expectations by 6.6%, and Graham Corporation reported revenues up 20.5%, topping estimates by 8.3%. Arrow Electronics traded up 12.4% following the results while Graham Corporation was also up 15.3%.
Read our full analysis of Arrow Electronics’s results here and Graham Corporation’s results here.
There has been positive sentiment among investors in the engineered components and systems segment, with share prices up 3.6% on average over the last month. Park-Ohio is up 12.4% during the same time and is heading into earnings with an average analyst price target of $37 (compared to the current share price of $26.70).
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