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Why Is SYMBOTIC INC (SYM) Up 5.1% Since Last Earnings Report?
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A month has gone by since the last earnings report for Symbotic Inc. (SYM - Free Report) . Shares have added about 5.1% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is SYMBOTIC INC due for a pullback? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Symbotic Inc. before we dive into how investors and analysts have reacted as of late.
Symbotic Misses Q3 Earnings But Beats Revenue Estimates
Symbotic reported mixed third-quarter fiscal 2026 results. Earnings missed the Zacks Consensus Estimate, while revenues surpassed the same.
Quarterly earnings were 9 cents per share, missing the Zacks Consensus Estimate of 12 cents by 25%. In the year-ago quarter, the company had reported a loss of 5 cents per share. Meanwhile, total revenues of $720.8 million beat the consensus mark of $715 million by 0.9% and increased 21.7% year over year.
Systems revenues, accounting for 93.1% of total revenues, increased 20% year over year to $671 million. The company started 11 new system deployments in the fiscal third quarter, bringing the total number of systems under deployment to 77 at quarter-end.
Software maintenance and support revenues increased 57% year over year to $12.8 million, aided by growth in operational systems under support contracts. Operations services revenues totaled $37.1 million, up 49% year over year, primarily due to an increase in operational systems receiving these services.
SYM’s Margins Expand
Adjusted EBITDA was $95.2 million, more than doubling from $45.4 million in the year-ago quarter. The adjusted EBITDA margin expanded about 550 basis points year over year to 13.2%.
Adjusted gross profit was $179.9 million, up 41.4% year over year. The adjusted gross profit margin improved 350 basis points year over year to 25% on strong project execution, cost discipline, scale benefits and a favorable revenue mix.
SYM reported a backlog of approximately $22.5 billion. The sequential decline primarily reflected revenues recognized during the third quarter, partly offset by pricing adjustments on newly started projects and the addition of a second Southern Glazer’s site.
Symbotic exited the third quarter with cash and cash equivalents of $1.75 billion compared with $2 billion at the end of the preceding quarter. The company used $147.3 million of cash in operating activities during the third quarter and reported negative free cash flow of $164.6 million, mainly reflecting the timing of customer receipts and cash usage related to project activity.
SYM’s Guidance
For the fourth quarter of fiscal 2026, the company expects revenues in the range of $760-$780 million. Adjusted EBITDA is expected to be between $100 million and $105 million.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a upward trend in estimates revision.
The consensus estimate has shifted -11.86% due to these changes.
VGM Scores
At this time, SYMBOTIC INC has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. However, the stock has a score of F on the value side, putting it in the lowest quintile for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, SYMBOTIC INC has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
SYMBOTIC INC belongs to the Zacks Technology Services industry. Another stock from the same industry, Aptiv PLC (APTV - Free Report) , has gained 0.5% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.
APTIV PLC reported revenues of $3.27 billion in the last reported quarter, representing a year-over-year change of -37.1%. EPS of $1.63 for the same period compares with $2.12 a year ago.
APTIV PLC is expected to post earnings of $1.33 per share for the current quarter, representing a year-over-year change of -38.7%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.3%.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for APTIV PLC. Also, the stock has a VGM Score of B.
View the Zacks #1 Rank List
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Why Is SYMBOTIC INC (SYM) Up 5.1% Since Last Earnings Report?
A month has gone by since the last earnings report for Symbotic Inc. (SYM - Free Report) . Shares have added about 5.1% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is SYMBOTIC INC due for a pullback? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Symbotic Inc. before we dive into how investors and analysts have reacted as of late.
Symbotic Misses Q3 Earnings But Beats Revenue Estimates
Symbotic reported mixed third-quarter fiscal 2026 results. Earnings missed the Zacks Consensus Estimate, while revenues surpassed the same.
Quarterly earnings were 9 cents per share, missing the Zacks Consensus Estimate of 12 cents by 25%. In the year-ago quarter, the company had reported a loss of 5 cents per share. Meanwhile, total revenues of $720.8 million beat the consensus mark of $715 million by 0.9% and increased 21.7% year over year.
Systems revenues, accounting for 93.1% of total revenues, increased 20% year over year to $671 million. The company started 11 new system deployments in the fiscal third quarter, bringing the total number of systems under deployment to 77 at quarter-end.
Software maintenance and support revenues increased 57% year over year to $12.8 million, aided by growth in operational systems under support contracts. Operations services revenues totaled $37.1 million, up 49% year over year, primarily due to an increase in operational systems receiving these services.
SYM’s Margins Expand
Adjusted EBITDA was $95.2 million, more than doubling from $45.4 million in the year-ago quarter. The adjusted EBITDA margin expanded about 550 basis points year over year to 13.2%.
Adjusted gross profit was $179.9 million, up 41.4% year over year. The adjusted gross profit margin improved 350 basis points year over year to 25% on strong project execution, cost discipline, scale benefits and a favorable revenue mix.
SYM reported a backlog of approximately $22.5 billion. The sequential decline primarily reflected revenues recognized during the third quarter, partly offset by pricing adjustments on newly started projects and the addition of a second Southern Glazer’s site.
Symbotic exited the third quarter with cash and cash equivalents of $1.75 billion compared with $2 billion at the end of the preceding quarter. The company used $147.3 million of cash in operating activities during the third quarter and reported negative free cash flow of $164.6 million, mainly reflecting the timing of customer receipts and cash usage related to project activity.
SYM’s Guidance
For the fourth quarter of fiscal 2026, the company expects revenues in the range of $760-$780 million. Adjusted EBITDA is expected to be between $100 million and $105 million.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a upward trend in estimates revision.
The consensus estimate has shifted -11.86% due to these changes.
VGM Scores
At this time, SYMBOTIC INC has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. However, the stock has a score of F on the value side, putting it in the lowest quintile for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, SYMBOTIC INC has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
SYMBOTIC INC belongs to the Zacks Technology Services industry. Another stock from the same industry, Aptiv PLC (APTV - Free Report) , has gained 0.5% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.
APTIV PLC reported revenues of $3.27 billion in the last reported quarter, representing a year-over-year change of -37.1%. EPS of $1.63 for the same period compares with $2.12 a year ago.
APTIV PLC is expected to post earnings of $1.33 per share for the current quarter, representing a year-over-year change of -38.7%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.3%.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for APTIV PLC. Also, the stock has a VGM Score of B.