W.W. Grainger, Inc. (GWW - Free Report) is a leading North American distributor of material-handling equipment, safety and security supplies. The company remains focused on providing the lowest total cost maintenance, repair and operating (MRO) solution to select customer groups.
Even though Grainger will benefit from acquisitions, focus on restructuring and growth in its eCommerce channel, its results continue to bear the brunt of unfavorable foreign currency translation, sluggish industrial markets as well as the deteriorating macroeconomic environment in Canada. Given the deflationary environment, the company remains cautious on gross margins. Moreover, weakening monthly sales and lower oil and gas prices will weigh on third-quarter 2016 results.
Let’s have a quick look on Grainger’s third-quarter release.
Estimate Trend & Surprise History
Investors should note that the earnings estimate for Grainger for the third quarter has been revised upward over the past month. Coming to the earnings surprise history, Grainger beat the Zacks Consensus Estimate in two out of the trailing four quarters with an average positive earnings surprise of around 3.14%.
GRAINGER W W Price and EPS Surprise