We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ABB's Q1 Financial Result Update Shows Y/Y Rise in Revenues
Read MoreHide Full Article
ABB Ltd recently announced preliminary data for the first-quarter 2021 results as well as updated its revenue guidance for 2021. Notably, the company is scheduled to provide its complete first-quarter results on Apr 27, 2021.
Following the preliminary result announcement on Apr 15, shares of the company inched up 4.2% to $32.93.
Results in Detail
Per the preliminary release, for the first quarter, the company is expected to have put up a strong operational performance, supported by strength across its short-cycle business on the back of better-than-expected market development, particularly during March 2021. The company expects quarterly demand to have been augmented by customer stock-building activities.
According to the preliminary report for first-quarter 2021, ABB projects its total orders to be of $7,750 million, higher than $7,346 million in first-quarter 2020. Also, the company predicts first-quarter 2021 total revenues to be $6,900 million, exceeding $6,216 million recorded in the year-ago quarter. The Zacks Consensus Estimate for the same is pegged at $6,626 million. Operational earnings before interest, taxes and amortization (EBITA) in the quarter are expected to be 13.5%, higher than 10.2% recorded in the year-ago quarter.
2021 Guidance
Along with the preliminary announcement, the company provided its 2021 expectations. ABB projects comparable revenues to grow at least by 5%. Notably, it expects recovery in the process industry-related part of its business in the second half 2021.
Zacks Rank, Price Performance and Estimate Trend
ABB, with a $67.1-billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company stands to benefit from its strong market presence, organic growth investments and diligent cost-cutting initiatives over time. However, persistent weakness across automotive and conventional power generation end markets are concerning.
In the past three months, the stock has gained 12.2% compared with the industry’s growth of 2.4%.
In the past 60 days, the Zacks Consensus Estimate for its earnings has been raised 2.4% to $1.26 for 2021, and the same for 2022 has remained stable at $1.48.
Griffon delivered a trailing four-quarter earnings surprise of 115.48%, on average.
II-VI pulled off a trailing four-quarter earnings surprise of 83.68%, on average.
Regal Beloit delivered a trailing four-quarter earnings surprise of 31.56%, on average.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Image: Bigstock
ABB's Q1 Financial Result Update Shows Y/Y Rise in Revenues
ABB Ltd recently announced preliminary data for the first-quarter 2021 results as well as updated its revenue guidance for 2021. Notably, the company is scheduled to provide its complete first-quarter results on Apr 27, 2021.
Following the preliminary result announcement on Apr 15, shares of the company inched up 4.2% to $32.93.
Results in Detail
Per the preliminary release, for the first quarter, the company is expected to have put up a strong operational performance, supported by strength across its short-cycle business on the back of better-than-expected market development, particularly during March 2021. The company expects quarterly demand to have been augmented by customer stock-building activities.
According to the preliminary report for first-quarter 2021, ABB projects its total orders to be of $7,750 million, higher than $7,346 million in first-quarter 2020. Also, the company predicts first-quarter 2021 total revenues to be $6,900 million, exceeding $6,216 million recorded in the year-ago quarter. The Zacks Consensus Estimate for the same is pegged at $6,626 million. Operational earnings before interest, taxes and amortization (EBITA) in the quarter are expected to be 13.5%, higher than 10.2% recorded in the year-ago quarter.
2021 Guidance
Along with the preliminary announcement, the company provided its 2021 expectations. ABB projects comparable revenues to grow at least by 5%. Notably, it expects recovery in the process industry-related part of its business in the second half 2021.
Zacks Rank, Price Performance and Estimate Trend
ABB, with a $67.1-billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company stands to benefit from its strong market presence, organic growth investments and diligent cost-cutting initiatives over time. However, persistent weakness across automotive and conventional power generation end markets are concerning.
In the past three months, the stock has gained 12.2% compared with the industry’s growth of 2.4%.
In the past 60 days, the Zacks Consensus Estimate for its earnings has been raised 2.4% to $1.26 for 2021, and the same for 2022 has remained stable at $1.48.
Key Picks
Some better-ranked stocks are Griffon Corporation (GFF - Free Report) , II-VI Incorporated and Regal Beloit Corporation (RBC - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Griffon delivered a trailing four-quarter earnings surprise of 115.48%, on average.
II-VI pulled off a trailing four-quarter earnings surprise of 83.68%, on average.
Regal Beloit delivered a trailing four-quarter earnings surprise of 31.56%, on average.
Infrastructure Stock Boom to Sweep America
A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.
The only question is “Will you get into the right stocks early when their growth potential is greatest?”
Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.
Download FREE: How to Profit from Trillions on Spending for Infrastructure >>