What's in the Cards for Carlisle (CSL) This Earnings Season?
Carlisle Companies CSL is scheduled to release third-quarter 2022 results on Oct 27, after market close.
The Zacks Consensus Estimate for the company’s third-quarter earnings has been revised downward by 18.2% in the past 90 days. However, the company has an impressive earnings surprise, history having outperformed the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 28%.
Let’s see how things have shaped up for Carlisle this earnings season.
Carlisle Companies Incorporated Price and EPS Surprise
Carlisle Companies Incorporated price-eps-surprise | Carlisle Companies Incorporated Quote
Factors to Note
The Carlisle Construction Materials (CCM) segment is expected to have benefited from a strengthening roofing market in the United States and growth in the architectural metal platform. Growing demand for energy-efficient building products coupled with a strong backlog level is also expected to have aided the CCM segment’s performance in the third quarter.
Solid demand for all product lines and benefits from the Henry acquisition (September 2021) are expected to get reflected in the Carlisle Weatherproofing Technologies (CWT) segment’s third-quarter results.
The Carlisle Interconnect Technologies (CIT) segment’s performance is expected to have been boosted by an improvement in the aerospace and medical end markets. The Zacks Consensus Estimate for CIT segment’s revenues in the third quarter indicates an 18.4% jump from the year-ago reported figure.
Focus on product introductions, price discipline and growing backlog level is expected to have driven the performance of the Carlisle Fluid Technologies (CFT) segment in the to-be-reported quarter. The consensus mark for CFT segment revenues suggests an approximate 10% rise from the year-ago reported number.
However, supply-chain constraints, inflation in raw material prices and labor challenges are likely to have hampered Carlisle’s third-quarter performance. Given the company’s substantial international presence, foreign currency headwinds are expected to have impacted its top-line performance.
What Does the Zacks Model Say?
Our proven model does not conclusively predict an earnings beat for Carlisle this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates, which is not the case here, as elaborated below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: Carlisle has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at $5.39. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Carlisle carries a Zacks Rank #2.
Highlights of Q2 Earnings
Carlisle’s second-quarter 2022 adjusted earnings of $6.15 per share surpassed the Zacks Consensus Estimate of $4.99. The bottom line skyrocketed more than 100% on a year-over-year basis. Total revenues soared 56.8% year over year to $1,847 million, beating the Zacks Consensus Estimate of $1,693 million. Higher organic revenues and benefits from acquired assets boosted results.
Stocks to Consider
Here are some companies that you may want to consider, as according to our model, these have the right combination of elements to beat on earnings this reporting cycle.
Illinois Tool Works ITW has an Earnings ESP of +0.33% and a Zacks Rank #3. The company is slated to release third-quarter 2022 results on Oct 25.
Illinois Tool’s earnings surpassed the Zacks Consensus Estimate in three of the preceding four quarters, while missing in one. The average beat was 2.8%.
Emerson Electric Co. EMR has an Earnings ESP of +0.81% and a Zacks Rank #3. The company is scheduled to release fourth-quarter fiscal 2022 (ended Sep 30, 2022) results on Nov 2.
Emerson’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 6%.
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Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report
Emerson Electric Co. (EMR) : Free Stock Analysis Report
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