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AMETEK (AME) to Report Q2 Earnings: What's in the Offing?

Zacks Equity Research
·3 min read

AMETEK, Inc. AME is scheduled to report second-quarter 2020 results on Aug 4.

For the second quarter, the Zacks Consensus Estimate for sales is pegged at $974.6 million, suggesting a decline of 24.4% from the year-ago quarter.

Further, the Zacks Consensus Estimate for earnings stands at 72 cents per share, indicating a slump of 31.4% from the year-ago quarter.

The company beat estimates in each of the trailing four quarters, the average surprise being 4.5%.

AMETEK, Inc. Price and EPS Surprise

AMETEK, Inc. Price and EPS Surprise
AMETEK, Inc. Price and EPS Surprise

AMETEK, Inc. price-eps-surprise | AMETEK, Inc. Quote

Factors to Note

Despite coronavirus induced disruptions and travel restrictions, AMETEK’s second-quarter results might reflect positive contributions from strategic acquisitions.

Acquisitions of Motec, Forza, Telular, Gatan, Intellipower and Spectro Scientific are likely to have driven the Electronic Instruments Group (“EIG”) segment’s performance in the quarter to be reported. Further, the strong materials analysis business may get reflected in the segment’s second-quarter sales.

Further, Electromechanical Group (“EMG”) segment’s sales are likely to have gained from the Pacific Design Technologies and FMH Aerospace buyouts in the to-be-reported quarter. Moreover, cost mitigation strategies are anticipated to have aided the operation performance of this particular segment in the quarter under review.

Further, the company’s proper execution of its core growth strategies —including operational excellence, global market expansion, investments in product development and acquisitions —might have driven the second-quarter performance.

Additionally, the company’s focus toward strong cash flow generation is anticipated to have aided capital deployment activities in the to-be-reported quarter.

Strengthening momentum across AMETEK Growth Model is also expected to get reflected in the second-quarter results.

What Our Model Says

Our proven model conclusively predicts an earnings beat for AMETEK 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. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

AMETEK has an Earnings ESP of +3.96% and a Zacks Rank #2.

Other Stocks to Consider

Here are some other stocks you may consider, as our proven model shows that these too have the right combination of elements to post an earnings beat this quarter.

JD.com, Inc. JD has an Earnings ESP of +13.79% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

GoPro, Inc. GPRO has an Earnings ESP of +43.66% and a Zacks Rank #2.

Wayfair, Inc. W has an Earnings ESP of +21.40% and a Zacks Rank of 3.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

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GoPro, Inc. (GPRO) : Free Stock Analysis Report
AMETEK, Inc. (AME) : Free Stock Analysis Report
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Wayfair Inc. (W) : Free Stock Analysis Report
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