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AMETEK (AME) to Report Q1 Earnings: What's in the Offing?

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AMETEK, Inc. (AME - Free Report) is scheduled to report first-quarter 2022 results on May 3.

For the first quarter, the company expects sales growth of 20% on a year-over-year basis. The Zacks Consensus Estimate for sales is pegged at $1.46 billion, suggesting year-over-year growth of 20.2%.

The company expects adjusted earnings of $1.24-$1.28 per share, suggesting year-over-year growth of 16-20%. The Zacks Consensus Estimate for earnings is pegged at $1.27 per share, implying year-over-year growth of 18.7%.

The company beat estimates in each of the trailing four quarters, the average surprise being 4.74%.

AMETEK, Inc. Price and EPS Surprise

 

AMETEK, Inc. Price and EPS Surprise

AMETEK, Inc. price-eps-surprise | AMETEK, Inc. Quote

Key Factors to Note

AMETEK’s first-quarter results are expected to reflect positive contributions from acquisitions.

The Magnetrol International and Crank Software buyouts are anticipated to have driven growth in AMETEK’s Electronic Instruments segment in the quarter under review. Acquisitions of Motec, Forza, Telular, Gatan, Intellipower and Spectro Scientific are expected to have benefitted the segment.

The impacts of a strong material analysis business are anticipated to get reflected in the segment’s first-quarter sales.

The Electromechanical Group segment’s sales are likely to have gained from the Pacific Design Technologies buyout in the to-be-reported quarter. Cost-mitigation strategies are anticipated to have aided the operation performance of the segment in the quarter under review.

The company’s proper execution of its core growth strategies, including operational excellence, global market expansion, investments in product development and acquisitions, is expected to have driven the third-quarter performance.

AMETEK’s focus on cash flow generation is anticipated to have aided capital deployment activities in the to-be-reported quarter.

Apart from these, the impacts of strengthening momentum across the AMETEK Growth Model are expected to get reflected in the to-be-reported quarterly results.

However, the coronavirus pandemic-led disruptions are anticipated to have been headwinds for the company’s segments.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for AMETEK 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.

AMETEK has an Earnings ESP of +0.00% and a Zacks Rank #4 (Sell).

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.

Analog Devices (ADI - Free Report) has an Earnings ESP of +2.17% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Analog Devices is scheduled to release second-quarter fiscal 2022 results on May 18. The Zacks Consensus Estimate for ADI’s earnings is pegged at $2.12 per share, suggesting an increase of 37.7% from the prior-year reported figure.

Cisco Systems (CSCO - Free Report) has an Earnings ESP of +0.84% and a Zacks Rank #2 at present.

Cisco Systems is set to report third-quarter fiscal 2022 results on May 18. The Zacks Consensus Estimate for CSCO’s earnings is pegged at 86 cents per share, which suggests an increase of 3.61% from the prior-year reported figure.

HP (HPQ - Free Report) has an Earnings ESP of +0.78% and a Zacks Rank #3 at present.

HP is scheduled to release second-quarter fiscal 2022 results on May 26. The Zacks Consensus Estimate for HPQ’s earnings is pegged at $1.06 per share, which suggests an increase of 13.98% from the prior-year reported figure.

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

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