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In the last reported quarter, its earnings per share (EPS) and net sales missed the Zacks Consensus Estimate by 3.3% and 0.5%, respectively, but grew 11.5% and 11.7%.
Fastenal’s earnings topped the consensus mark in one of the last four quarters, missed on two occasions and met on the remaining one, with the average negative surprise being 1%.
Trend in FAST’s Estimate Revision
For the fourth quarter, the Zacks Consensus Estimate for EPS has remained unchanged over the past 60 days at 26 cents per share. The estimated figure indicates 13% year-over-year growth.
The consensus mark for net sales is pegged at $2.05 billion, indicating a 12.2% increase from the year-ago reported figure of $1.82 billion.
In the fourth quarter, the top-line performance of Fastenal is likely to have improved year over year, driven by favorable pricing changes and several sales-boosting initiatives. Its focus on growing its digital footprint, increasing inventory and improving picking efficiency at its hubs is expected to have boded well, despite the sluggish industrial environment. Moreover, a balanced mix of on-site and off-site services, along with market share gains across various product categories, is expected to have contributed to the uptick.
If we go by the latest monthly sales report, daily sales in November 2025 grew year over year 11.8% to $33 million, while the same declined 1.5% from October 2025.
In terms of end markets in November 2025, Heavy Manufacturing and Other Manufacturing daily sales increased 13% and 12.9%, respectively, with Non-residential Construction growing 8.4%. In terms of product line, daily sales for Fasteners and Safety jumped 14.6% and 8.1%, respectively. Products under the Other category improved 11.9% in November 2025. During the same month, the daily sales growth of contract and non-contract customers was 13% and 8%, respectively, with daily sales through eBusiness increasing 7%.
Our model predicts Fastenal’s average daily sales to be $32.6 million for the fourth quarter, indicating an increase of 12.4% from a year ago.
Margins
The bottom line of FAST is expected to have improved during the fourth quarter on the back of a favorable price-cost mix, the ongoing fastener expansion project, supply improvement initiatives and cost control strategies. The company’s efforts in controlling costs, especially container and transportation costs, are encouraging. Automating warehouses, increasing delivery efficiency through its trucking network and selling more private-label products with higher margins are likely to have aided the fourth quarter’s bottom-line growth.
Fastenal is likely to have faced an unfavorable customer and product mix, alongside higher freight and overhead costs, given the broader macro uncertainties spanning the economy. However, the increased leverage from top-line growth and margin expansion initiatives is expected to have more than offset these headwinds.
We expect selling, general and administrative expenses (as a percentage of net sales) to contract year over year by 90 basis points (bps) to 25% for the to-be-reported quarter.
Due to the return of seasonality, the company expects gross margin to be sequentially lower in the fourth quarter. We expect the metric to contract sequentially by 40 bps to 44.9% in the quarter to be reported, but up 10 bps year over year.
What the Zacks Model Unveils for Fastenal
Our proven model does not conclusively predict an earnings beat for Fastenal 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. However, it is not the case here.
FAST’s Earnings ESP: The company has an Earnings ESP of -0.64%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Here are some companies from the Industrial Products sector, which, according to our model, have the right combination of elements to post an earnings beat in their respective quarters to be reported.
Kennametal Inc. (KMT - Free Report) has an Earnings ESP of +8.57% and a Zacks Rank of 1.
Kennametal’s earnings topped the consensus mark in two of the last four quarters, missed on one occasion and met on the remaining one, with the average surprise being 26.9%. Earnings for the company’s fourth quarter of 2025 are expected to grow 40% year over year.
Watts Water Technologies, Inc. (WTS - Free Report) has an Earnings ESP of +4.37% and a Zacks Rank of 2.
Watts Water Technologies’ earnings topped the consensus mark in each of the last four quarters, with the average surprise being 10.9%. Earnings for the company’s fourth quarter of 2025 are expected to grow 15.1% year over year.
Otis Worldwide Corporation (OTIS - Free Report) has an Earnings ESP of +0.69% and a Zacks Rank of 3.
Otis Worldwide’s earnings topped the consensus mark in three of the last four quarters and missed on the remaining one occasion, with the average surprise being 1.7%. Earnings for the company’s fourth quarter of 2025 are expected to increase 9.7% year over year.
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Fastenal to Report Q4 Earnings: Here's What Investors Should Know
Key Takeaways
Fastenal Company (FAST - Free Report) is scheduled to report fourth-quarter 2025 results on Jan. 20, before the opening bell.
In the last reported quarter, its earnings per share (EPS) and net sales missed the Zacks Consensus Estimate by 3.3% and 0.5%, respectively, but grew 11.5% and 11.7%.
Fastenal’s earnings topped the consensus mark in one of the last four quarters, missed on two occasions and met on the remaining one, with the average negative surprise being 1%.
Trend in FAST’s Estimate Revision
For the fourth quarter, the Zacks Consensus Estimate for EPS has remained unchanged over the past 60 days at 26 cents per share. The estimated figure indicates 13% year-over-year growth.
The consensus mark for net sales is pegged at $2.05 billion, indicating a 12.2% increase from the year-ago reported figure of $1.82 billion.
Fastenal Company Price and EPS Surprise
Fastenal Company price-eps-surprise | Fastenal Company Quote
Factors Likely to Shape Fastenal's Q4 Performance
Sales
In the fourth quarter, the top-line performance of Fastenal is likely to have improved year over year, driven by favorable pricing changes and several sales-boosting initiatives. Its focus on growing its digital footprint, increasing inventory and improving picking efficiency at its hubs is expected to have boded well, despite the sluggish industrial environment. Moreover, a balanced mix of on-site and off-site services, along with market share gains across various product categories, is expected to have contributed to the uptick.
If we go by the latest monthly sales report, daily sales in November 2025 grew year over year 11.8% to $33 million, while the same declined 1.5% from October 2025.
In terms of end markets in November 2025, Heavy Manufacturing and Other Manufacturing daily sales increased 13% and 12.9%, respectively, with Non-residential Construction growing 8.4%. In terms of product line, daily sales for Fasteners and Safety jumped 14.6% and 8.1%, respectively. Products under the Other category improved 11.9% in November 2025. During the same month, the daily sales growth of contract and non-contract customers was 13% and 8%, respectively, with daily sales through eBusiness increasing 7%.
Our model predicts Fastenal’s average daily sales to be $32.6 million for the fourth quarter, indicating an increase of 12.4% from a year ago.
Margins
The bottom line of FAST is expected to have improved during the fourth quarter on the back of a favorable price-cost mix, the ongoing fastener expansion project, supply improvement initiatives and cost control strategies. The company’s efforts in controlling costs, especially container and transportation costs, are encouraging. Automating warehouses, increasing delivery efficiency through its trucking network and selling more private-label products with higher margins are likely to have aided the fourth quarter’s bottom-line growth.
Fastenal is likely to have faced an unfavorable customer and product mix, alongside higher freight and overhead costs, given the broader macro uncertainties spanning the economy. However, the increased leverage from top-line growth and margin expansion initiatives is expected to have more than offset these headwinds.
We expect selling, general and administrative expenses (as a percentage of net sales) to contract year over year by 90 basis points (bps) to 25% for the to-be-reported quarter.
Due to the return of seasonality, the company expects gross margin to be sequentially lower in the fourth quarter. We expect the metric to contract sequentially by 40 bps to 44.9% in the quarter to be reported, but up 10 bps year over year.
What the Zacks Model Unveils for Fastenal
Our proven model does not conclusively predict an earnings beat for Fastenal 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. However, it is not the case here.
FAST’s Earnings ESP: The company has an Earnings ESP of -0.64%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
FAST’s Zacks Rank: Currently, FAST carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks With the Favorable Combination
Here are some companies from the Industrial Products sector, which, according to our model, have the right combination of elements to post an earnings beat in their respective quarters to be reported.
Kennametal Inc. (KMT - Free Report) has an Earnings ESP of +8.57% and a Zacks Rank of 1.
Kennametal’s earnings topped the consensus mark in two of the last four quarters, missed on one occasion and met on the remaining one, with the average surprise being 26.9%. Earnings for the company’s fourth quarter of 2025 are expected to grow 40% year over year.
Watts Water Technologies, Inc. (WTS - Free Report) has an Earnings ESP of +4.37% and a Zacks Rank of 2.
Watts Water Technologies’ earnings topped the consensus mark in each of the last four quarters, with the average surprise being 10.9%. Earnings for the company’s fourth quarter of 2025 are expected to grow 15.1% year over year.
Otis Worldwide Corporation (OTIS - Free Report) has an Earnings ESP of +0.69% and a Zacks Rank of 3.
Otis Worldwide’s earnings topped the consensus mark in three of the last four quarters and missed on the remaining one occasion, with the average surprise being 1.7%. Earnings for the company’s fourth quarter of 2025 are expected to increase 9.7% year over year.