Watts Water (WTS) Q4 Earnings Preview: What You Should Know Beyond the Headline Estimates
Wall Street analysts forecast that Watts Water (WTS) will report quarterly earnings of $1.78 per share in its upcoming release, pointing to a year-over-year increase of 11.3%. It is anticipated that revenues will amount to $532.39 million, exhibiting an increase of 6.1% compared to the year-ago quarter.
The current level reflects a downward revision of 0.5% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
That said, let's delve into the average estimates of some Watts Water metrics that Wall Street analysts commonly model and monitor.
Based on the collective assessment of analysts, 'Geographic Revenue- EMEA' should arrive at $124.30 million. The estimate indicates a change of -3.1% from the prior-year quarter.
The consensus estimate for 'Geographic Revenue- Americas' stands at $375.43 million. The estimate indicates a change of +7.1% from the prior-year quarter.
The average prediction of analysts places 'Geographic Revenue- Asia' at $32.47 million. The estimate suggests a change of +39.9% year over year.
Analysts' assessment points toward 'Operating income / (loss)- Europe' reaching $13.27 million. The estimate compares to the year-ago value of $13.40 million.
Analysts expect 'Operating income / (loss)- Americas' to come in at $77.67 million. Compared to the current estimate, the company reported $64.30 million in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Operating income / (loss)- Asia' will likely reach $5.37 million. Compared to the present estimate, the company reported $3.30 million in the same quarter last year.
View all Key Company Metrics for Watts Water here>>>
Watts Water shares have witnessed a change of +3.5% in the past month, in contrast to the Zacks S&P 500 composite's +5.6% move. With a Zacks Rank #2 (Buy), WTS is expected outperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Watts Water Technologies, Inc. (WTS) : Free Stock Analysis Report
