Industrial products company CSW (NYSE: CSW) will be reporting results this Thursday before the bell. Here’s what investors should know.
CSW beat analysts’ revenue expectations last quarter, reporting revenues of $309 million, up 34% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS and EBITDA estimates.
Is CSW a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting CSW’s revenue to grow 29.9% year on year, improving from the 16.6% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. CSW has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at CSW’s peers in the building products segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Carrier Global delivered year-on-year revenue growth of 3.9%, beating analysts’ expectations by 5.6%, and Zurn Elkay reported revenues up 10.5%, topping estimates by 1.6%.
Read our full analysis of Carrier Global’s results here and Zurn Elkay’s results here.
In the last twelve months or so, the market has shifted its attention from one area of macro importance to the next (AI disintermediation and AI capex spending to geopolitical conflict, rates, and whether the economy is on solid footing or not). While some of the building products stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3.3% on average over the last month. CSW is up 10.6% during the same time and is heading into earnings with an average analyst price target of $326.43 (compared to the current share price of $298.97).
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