Infrastructure and agriculture equipment manufacturer Valmont Industries (NYSE: VMI) will be reporting results this Tuesday before the bell. Here’s what to expect.
Valmont beat analysts’ revenue expectations last quarter, reporting revenues of $1.03 billion, up 6.2% year on year. It was an exceptional quarter for the company, with full-year EPS guidance exceeding analysts’ expectations and a beat of analysts’ EPS estimates.
Is Valmont 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 Valmont’s revenue to grow 3.8% year on year, improving from the 1% 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. Valmont has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Valmont’s peers in the building products segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Apogee’s revenues decreased 1.1% year on year, beating analysts’ expectations by 3.4%, and AZZ reported revenues up 6.3%, topping estimates by 3.2%. AZZ traded down 1.9% following the results.
Read our full analysis of Apogee’s results here and AZZ’s results here.
Over the past year, investors have repeatedly shifted their focus from one macro narrative to another (AI disruption and AI capex spending to geopolitics, interest rates, and the broader health of the economy). While some of the building products stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.9% on average over the last month. Valmont is down 8.8% during the same time and is heading into earnings with an average analyst price target of $611.25 (compared to the current share price of $531.91).
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