What's in the Offing for Mettler-Toledo's (MTD) Q3 Earnings?
Mettler-Toledo International, Inc. MTD is scheduled to report its third-quarter 2023 results on Nov 9.
For the third quarter, MTD projects sales to decline 3-4% in local currency from the year-ago quarter’s reported figure.
The Zacks Consensus Estimate for the same is pegged at $942.74 million, indicating a decline of 4.4% from the year-ago period’s reported figure.
Adjusted quarterly earnings are anticipated to be $9.55-$9.85 per share, implying a 3-6% fall from the year-ago quarter’s reported number. The consensus mark for the same is projected at $9.65 per share, suggesting a 5.2% decline from the prior-year quarter’s reading.
We note that MTD’s bottom line surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average being 2.63%.
Mettler-Toledo International, Inc. Price and EPS Surprise
Mettler-Toledo International, Inc. price-eps-surprise | Mettler-Toledo International, Inc. Quote
Key Factors to Consider
Mettler-Toledo’s third-quarter performance is likely to have benefited from its cost-cutting efforts, robust sales and marketing strategies, as well as margin and productivity initiatives.
The impacts of Mettler-Toledo’s solid momentum across the Laboratory, Food Retail and Industrial segments are expected to be reflected in the to-be-reported results.
Solid momentum in project activities is likely to have driven the Food Retail segment’s sales in the to-be-reported quarter.
The consensus mark for Food Retail sales is pegged at $55.06 million, suggesting growth of 24.6% from the reported in the prior-year quarter.
Moreover, cost reductions in response to the weak sales environment are likely to have affected its Industrial segment in the quarter under review.
The Zacks Consensus Estimate for Industrial sales is pegged at $386.83 million, indicating growth of 0.07% from the year-ago reported figure.
However, macroeconomic headwinds, supply-chain challenges and growing geo-political tensions are likely to have posed challenges to Mettler-Toledo in the third quarter.
Deteriorating conditions in China, driven by sluggish demand across pharma and biopharma customers, are likely to have negatively affected MTD’s Laboratory segment’s sales in the upcoming results.
The Zacks Consensus Estimate for Laboratory sales is pegged at $505.59 million, indicating a decline of 8.9% from the year-ago reported figure.
What Our Model Says
Per the Zacks model, 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.
Mettler-Toledo has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming release:
NetEase NTES has an Earnings ESP of +5.13% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
NetEase is set to announce its third-quarter 2023 results on Nov 16. NTES shares have gained 54% year to date.
Synopsys SNPS has an Earnings ESP of +0.94% and a Zacks Rank #1.
Synopsys is set to announce its fourth-quarter fiscal 2023 results on Nov 29. SNPS shares have gained 55.1% year to date.
Snowflake SNOW has an Earnings ESP of +15.71% and a Zacks Rank #2.
Snowflake is set to announce its third-quarter fiscal 2024 results on Nov 29. SNOW shares have gained 11.8% year to date.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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NetEase, Inc. (NTES) : Free Stock Analysis Report
Synopsys, Inc. (SNPS) : Free Stock Analysis Report
Mettler-Toledo International, Inc. (MTD) : Free Stock Analysis Report
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