Back to top

Image: Bigstock

United Technologies (UTX) Beats on Q1 Earnings & Revenues

Read MoreHide Full Article

United Technologies Corporation  provides high-end technology products and services to the building systems and aerospace industries worldwide. It has a diversified business mix and wide geographical presence to mitigate operating risk. The business mix and diversification allows the company to remain profitable even during tough economic times, delivering consistent earnings and dividend growth.

The company is susceptible to high operating risks following the Brexit referendum, as it has a huge operating exposure in the U.K. Fluctuations in foreign currency exchange rates and macroeconomic turbulences also affect the stability of the company’s cash flows. This limits the visibility regarding the company’s future performance. With the extent of competition increasing over time, investors have been eagerly awaiting the company’s latest earnings report.

UTX has an impressive earnings track record, and has delivered an average positive earnings surprise of 4.1% in the last four trailing quarters. Earnings estimate revisions have remained stable in the last couple of months as investors retain a neutral stance about the performance of the company.

United Technologies Corporation Price, Consensus and EPS Surprise

UTX currently carries a Zacks Rank #4 (Sell), but that could change following its first-quarter 2018 earnings report which has just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: UTX beats on earnings. The Zacks Consensus Estimate called for EPS of $1.51, while the company reported adjusted EPS of $1.77.

Revenue: Revenues beat. UTX posted net sales of $15,242 million, which was higher than the Zacks Consensus Estimate of $14,537 million.

Key Stats to Note: UTX is poised to grow on the back of innovation investments, strategic cost-reduction efforts and a favourable global macroeconomic environment. Backed by these positives, the company raised its full-year 2018 earnings guidance. Adjusted earnings are now anticipated to lie within the $6.95–$7.15 per share range. Revenue guidance for 2018 was raised to a range of $63–$64.5 billion.

Stock Price: Shares were up 2.8% in pre-market trading following the release at the time of write-up as investors lauded the company’s performance.

Check back later for our full write up on this UTX earnings report later!

Will You Make a Fortune on the Shift to Electric Cars?

Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.

With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.

It's not the one you think.

See This Ticker Free >>

Published in