Electrical supply company WESCO (NYSE:WCC) will be reporting results this Thursday before market open. Here’s what to expect.
WESCO beat analysts’ revenue expectations by 1.8% last quarter, reporting revenues of $5.34 billion, flat year on year. It was a slower quarter for the company, with a significant miss of analysts’ adjusted operating income estimates and a miss of analysts’ EPS estimates.
Is WESCO a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting WESCO’s revenue to grow 6% year on year to $5.81 billion, a reversal from the 4.6% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $3.36 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. WESCO has missed Wall Street’s revenue estimates three times over the last two years.
Looking at WESCO’s peers in the maintenance and repair distributors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Global Industrial delivered year-on-year revenue growth of 3.2%, beating analysts’ expectations by 2%, and Fastenal reported revenues up 8.6%, topping estimates by 0.5%. Fastenal traded up 4.2% following the results.
Read our full analysis of Global Industrial’s results here and Fastenal’s results here.
There has been positive sentiment among investors in the maintenance and repair distributors segment, with share prices up 5.5% on average over the last month. WESCO is up 16.7% during the same time and is heading into earnings with an average analyst price target of $211.82 (compared to the current share price of $216.19).
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