Back to top

Image: Bigstock

What's in Store for Titan International's (TWI) Q1 Earnings?

Read MoreHide Full Article

Titan International, Inc. (TWI - Free Report) is scheduled to report first-quarter 2022 results on May 3, before the opening bell.

Q1 Estimates

The Zacks Consensus Estimate for Titan International’s first-quarter earnings per share is pegged at 29 cents, which suggests a whopping year-over-year surge of 314%. The Zacks Consensus Estimate for total revenues stands at $506 million for the quarter to be reported, indicating year-over-year growth of 25.5%.

Q4 Results

In the last reported quarter, TWI’s earnings and revenues beat the respective Zacks Consensus Estimate and increased year over year. The company has a trailing four-quarter earnings surprise of 47.6%, on average.

Titan International, Inc. Price and EPS Surprise Titan International, Inc. Price and EPS Surprise

Titan International, Inc. price-eps-surprise | Titan International, Inc. Quote

Key Factors to Consider

Higher volumes, backed by increased demand across all segments, particularly agriculture is expected to have contributed to Titan International’s first-quarter top line. The agricultural end market has been benefiting from solid customer demand spurred by the pick-up in farm income and higher agricultural commodity prices, which encouraged farmers to boost capital spending on agricultural equipment. The company’s pricing actions to mitigate rising raw material costs and other inflationary impacts in the markets, including freight, contributed to earnings. This, in turn, may have supported the company’s to-be-reported quarter’s margin.

The Zacks Consensus Estimate for the Agricultural segment’s quarterly net sales for the quarter under review is currently pegged at $287 million, suggesting year-over-year growth of 37%. The segment’s operating income is projected at $29 million, indicating a whopping surge of 520% from the prior-year quarter’s income of $4.68 million.

The Zacks Consensus Estimate for the Earthmoving/Construction segment’s sales is pegged at $198 million for the quarter under review, suggesting an increase of 20% from the year-earlier quarter. Improvements in global economic conditions and recovery in construction markets are likely to have contributed to the segment’s top line. The segment is anticipated to report an operating income of around $12.2 million in the first quarter of 2022, suggesting a 119% increase from the last-year quarter’s figure of $5.6 million. Higher sales volume and improved production efficiencies, as a result of management actions taken in recent years, are likely to have driven the improved profitability.

The Zacks Consensus Estimate for net sales of the Consumer segment is pegged at $41.9 million compared with $30 million reported in the year-ago quarter. General market improvements, as well as increased pricing, are expected to have been instrumental in driving the segment’s sales. The segment’s operating profit stands at $3.6 million, higher than the $1.67 in the year-ago quarter.

Earnings Whispers

Our proven model doesn’t conclusively predict an earnings beat for Titan International this season. 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.

Earnings ESP: The Earnings ESP for Titan International is 0.00%.

Zacks Rank: Titan International currently sports a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Price Performance

Zacks Investment Research
Image Source: Zacks Investment Research

Titan International’s shares have surged 21.56% over the past year, against the industry’s decline of 1.1%.

Stocks Poised to Beat Earnings

Here are some Industrial Products stocks, which you may consider as our model shows that these have the right combination of elements to post an earnings beat in their upcoming releases:

Eaton Corporation (ETN - Free Report) has an Earnings ESP of +0.85% and a Zacks Rank #3. The Zacks Consensus Estimate for the company’s revenues of $4.81 billion for the first quarter of 2022 indicates year-over-year growth of 2.6%.

The Zacks Consensus Estimate for the company’s earnings for the first quarter of 2022 currently stands at $1.60, suggesting year-over-year growth of 11%. ETN’s earnings topped the consensus mark in each of the trailing four quarters, the average surprise being 7%.

Mueller Water Products (MWA - Free Report) has an Earnings ESP of +3.45% and a Zacks Rank #3. The Zacks Consensus Estimate for the company’s revenues of $294.5 million for the first quarter of 2022 indicates year-over-year growth of 10%.

The consensus mark for Mueller Water’s earnings for the quarter under review is pegged at 15 cents, suggesting 7% growth from the prior-year quarter. The company beat estimates in three of the trailing four quarters and missed once, the average surprise being 11.5%.

Sealed Air Corporation (SEE - Free Report) currently has an Earnings ESP of +1.24% and a Zacks Rank of 3. The Zacks Consensus Estimate for SEE’s quarterly revenues is pegged at $1.39 billion, which indicates an increase of 9.6% from the prior-year quarter’s levels.

The Zacks Consensus Estimate for Sealed Air’s first-quarter 2022 earnings has been stable in the past 30 days at 92 cents per share, suggesting year-over-year growth of 18%. SEE has a trailing four-quarter earnings surprise of 2.94%, on average.

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