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Mistras Group (MG) to Report Q3 Earnings: What's in Store?

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Mistras Group (MG - Free Report) is scheduled to report third-quarter 2021 results on Nov 2.

For the third quarter, the company expects revenues to increase in the low-to-mid teens percentage from the prior year figure. The Zacks Consensus Estimate for revenues is pegged at $170.5 million, indicating growth of 15.3% from the year-ago reported figure.

Further, the Zacks Consensus Estimate for earnings is pegged at 18 cents per share, which indicates an increase from 6 cents reported in the prior-year quarter.

The company beat estimates in all the trailing four quarters, delivering an earnings surprise of 103.1%, on average.

Mistras Group Inc Price and EPS Surprise

Mistras Group Inc Price and EPS Surprise

Mistras Group Inc price-eps-surprise | Mistras Group Inc Quote

Factors to Consider

Mistras Group’s third-quarter results are likely to gain from a recovery in the energy market.

An improving energy market is expected to have continued benefiting the company’s domestic and Canada businesses.

Its expanded service offerings including rope access and adjacent mechanical are expected to have supported the to-be-reported quarterly performance.

The growing International segment is likely to have benefited the company’s performance in the quarter under review.

Strength of the asset protection software named MISTRAS OneSuite, which offers an ecosystem of integrated software and data service apps, is anticipated to have been a tailwind in the third quarter.

Rising investments in digital, private space and renewable energy markets are likely to have remained a positive factor in the to-be-reported quarter.

Further, Mistras’ subsidiary Onstream previously introduced new tools for the inspection of larger diameter pipes. This might have continued supporting its performance in the quarter under review.

Yet, uncertainties related to the ongoing coronavirus pandemic might get reflected in the upcoming quarterly results.

Also, sluggishness in the aerospace industry due to the pandemic is likely to have remained a concern.

Further, higher selling, general and administrative expenses are expected to have affected its quarterly performance.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Mistras this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

It has an Earnings ESP of -5.56% and a Zacks Rank #1, at present.

Stocks to Consider

Here are some stocks that you may also consider as our model shows that these have the right combination of elements to beat on earnings this season.

Applied Materials (AMAT - Free Report) has an Earnings ESP of +0.52% and a Zacks Rank of 2, at present.

HP Inc. (HPQ - Free Report) has an Earnings ESP of +1.89% and a Zacks Rank of 1, at present.

NetApp, Inc. (NTAP - Free Report) has an Earnings ESP of +3.70% and a Zacks Rank of 2, at present. You can see the complete list of today’s Zacks #1 Rank stocks here.


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