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Trimble (TRMB) to Post Q4 Earnings: What's in the Cards?

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Trimble (TRMB - Free Report) is scheduled to report fourth-quarter 2021 results on Feb 9.

For the fourth quarter, the Zacks Consensus Estimate for earnings is pegged at 61 cents per share, in line with the year-ago reported figure.

Further, the consensus mark for the same is pegged at $889.8 million, indicating an increase of 7.2% from the year-ago reported figure.

Trimble beat on earnings in all the trailing four quarters, with the average being 16.8%.

Trimble Inc. Price and EPS Surprise

Trimble Inc. Price and EPS Surprise

Trimble Inc. price-eps-surprise | Trimble Inc. Quote

Factors to Consider

Trimble’s fourth-quarter results are likely to benefit from the strong performance of machine control in civil construction, the agriculture guidance system, and survey and mapping.

Strength in Trimble Construction One platform and Advanced Digital Construction Management Systems is expected to have aided its performance in the to-be-reported quarter.

During the quarter, TRMB acquired AgileAssets to provide sustainability to customers' assets at lower costs across the complete lifecycle. The acquisition added strength to Trimble’s portfolio of civil infrastructure software solutions.

Additionally, it introduced the Trimble R750 GNSS Modular Receiver to help contractors, surveyors and farmers gain better positioning of the field. It also made Trimble Earthworks Grade Control Platform software and Trimble Siteworks software available worldwide as a subscription-based service.

Further, Trimble collaborated with Ferguson’s subsidiary, Ferguson Waterworks, for benefiting the latter’s municipal and utility customers. It also collaborated with Microsoft for developing and offering advanced cloud platforms to connect people, technology, tasks, data, processes, and industry lifecycles.

These initiatives are expected to have supported TRMB’s performance in the quarter under discussion.

Growing bookings and improvement in customer retention are likely to have been positive factors in driving the transportation segment.

Further, Trimble holds a solid position in its inventory level. This is anticipated to have counterbalanced the increasing input costs in the quarter under review.

Yet, the impacts of the coronavirus pandemic might get reflected in the upcoming quarterly results.

Also, supply chain constraints and the rising input costs are expected to have remained concerns in the to-be-reported quarter.

Further, sluggishness in the OEM and aftermarket business is likely to have been an overhang in the quarter under review.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Trimble 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 -2.10% and a Zacks Rank #4 (Sell), at present.

Stocks to Consider

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

Endava (DAVA - Free Report) has an Earnings ESP of +0.85% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Endava is scheduled to release second-quarter fiscal 2022 results on Feb 16. The Zacks Consensus Estimate for DAVA’s earnings is pegged at 59 cents per share, suggesting an increase of 55.3% from the prior-year reported figure.

Monolithic Power Systems (MPWR - Free Report) has an Earnings ESP of +2.83% and a Zacks Rank #2 at present.

Monolithic Power Systems is set to report fourth-quarter 2021 results on Feb 10. The Zacks Consensus Estimate for MPWR’s earnings is pegged at $1.87 per share, which suggests an increase of 42.8% from the prior-year reported figure.

Analog Devices (ADI - Free Report) has an Earnings ESP of +0.25% and a Zacks Rank #2 at present.

Analog Devices is scheduled to release first-quarter fiscal 2022 results on Feb 16. The Zacks Consensus Estimate for ADI’s earnings is pegged at $1.79 per share, which suggests an increase of 24.3% from the prior-year reported figure.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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