Yahoo Finance Dover (DOV) to Report Q1 Earnings: What's in the Offing?
Dover Corporation DOV will release first-quarter 2023 results on Apr 26, before the opening bell.
Q4 Results
In the last reported quarter, Dover’s earnings and sales beat the Zacks Consensus Estimates. DOV reported year-over-year improvements in its top and bottom lines. The company has a trailing four-quarter surprise of 2.3%, on average.
Dover Corporation Price and EPS Surprise
Dover Corporation price-eps-surprise | Dover Corporation Quote
Q1 Estimates
The Zacks Consensus Estimate for DOV’s first-quarter 2023 earnings per share is pegged at $1.94, suggesting growth of 2.1% from the prior-year quarter’s reported level. The same for total revenues is pinned at $2.1 billion, indicating an increase of 1% from the prior-year quarter’s reported figure.
Price Performance
Dover’s shares have lost 2.2% in the past year against the industry’s growth of 6.3%.
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Factors at Play
Dover has been witnessing robust bookings and order backlogs across its segments on strong demand and shipment levels, which are likely to have benefited its first-quarter performance. Gains from the recent acquisitions are also likely to have contributed to DOV’s performance in the to-be-reported quarter.
The company’s margins have been gaining from a strong volume, an improved price-cost spread and tight cost controls for a while, offsetting the negative impacts of supply-chain constraints, input inflation and production disruptions. These are likely to have driven DOV’s profitability in the quarter under review.
Segmental Estimates
In the Engineered Products segment, the demand for engineered products, vehicle service and industrial automation has been strong, which is expected to get reflected in the March-end quarter’s top-line results. Improved price-cost dynamics and volume are likely to have offset input shortages.
The Zacks Consensus Estimate for the segment’s first-quarter 2023 revenues is pegged at $497 million, suggesting growth of 1.8% from the prior-year quarter’s reading. The consensus estimate for the segment’s adjusted EBITDA is pegged at $93 million.
The Clean Energy and Fueling Solutions segment is likely to have gained from growth in below-ground, fuel transport, vehicle wash and industrial gasses in the quarter under review. However, it is expected to have been slightly hampered by subdued demand for above-ground fueling due to customer construction delays in Europe/Asia.
Margins are, nevertheless, likely to have gained from a positive product mix and the effects of decisive actions to reduce costs based on above-ground fueling. The Zacks Consensus Estimate for the segment’s revenues is pegged at $464 million for the quarter to be reported, suggesting a rise of 1.8% from the year-earlier actuals. The consensus estimate for the segment’s adjusted EBITDA is pegged at $94 million.
The Imaging & Identification segment's results are expected to reflect strong demand for marking and coding printers and spares, as well as continued strength in consumables. The Zacks Consensus Estimate for the segment’s revenues is pinned at $273 million, suggesting an increase from the $272 million reported in the prior-year quarter. The Zacks Consensus Estimate for the segment’s adjusted EBITDA is estimated to be $65 million.
Robust demand for industrial pumps and polymer processing activity is likely to have aided the Pumps & Process Solutions segment’s first-quarter performance. Customers’ demand shift from COVID-19 vaccine production to alternative therapies is expected to have impacted its biopharma business.
The Zacks Consensus Estimate for the segment’s revenues is pegged at $425 million, suggesting a decline of 2.3% from the prior-year quarter’s reported figure. The consensus mark for the segment’s first-quarter adjusted EBITDA is pegged at $136 million.
In the Climate and Sustainability Technologies segment, strong order rates in the food retail business and large backlogs are likely to have aided the segment’s first-quarter performance. Its heat exchanger and beverage packaging business has also been seeing strong order rates. Margins are likely to have gained, as food retail productivity improved and volume increased.
The Zacks Consensus Estimate for the segment’s quarterly revenues is pegged at $408 million, implying 2.3% growth from the year-earlier reported figure. The consensus estimate for the segment’s adjusted EBITDA is pegged at $62 million.
Here’s What Our Zacks Model Predicts
Our proven model doesn’t conclusively predict an earnings beat for Dover 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, as you can see below.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: Dover has an Earnings ESP of -0.39%.
Zacks Rank: Dover currently carries a Zacks Rank # 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks to Consider
Here are some Industrial Products stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases.
Ingersoll Rand Inc. IR is scheduled to report first-quarter 2023 results on May 3. It has an Earnings ESP of +2.32% and currently sports a Zacks Rank #1. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at 52 cents per share. This suggests year-over-year growth of 6.1%.
The Zacks Consensus Estimate for IR’s quarterly revenues is pegged at $1.5 billion, indicating year-over-year growth of 10.7%. IR has a trailing four-quarter earnings surprise of 8.5%, on average.
A. O. Smith Corporation AOS is set to release its first-quarter 2023 results on Apr 27. AOS currently has an Earnings ESP of +5.78% and a Zacks Rank #2. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at 77 cents per share, suggesting no year-over-year change.
The Zacks Consensus Estimate for AOS’ quarterly revenues is pegged at $913 million, indicating a year-over-year decline of 6.5%. The company has a trailing four-quarter earnings surprise of 3.2%, on average.
Illinois Tool Works ITW is scheduled to report first-quarter 2023 results on May 2. The company currently has an Earnings ESP of +1.49% and a Zacks Rank #3. The Zacks Consensus Estimate for first-quarter 2023 earnings is pegged at $2.19 per share. This suggests year-over-year growth of 3.8%
The Zacks Consensus Estimate for quarterly revenues is pegged at $4 billion, indicating growth of 0.6% from the prior-year quarter’s reported level. ITW has a trailing four-quarter earnings surprise of 0.9%, on average.
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Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report
Dover Corporation (DOV) : Free Stock Analysis Report
A. O. Smith Corporation (AOS) : Free Stock Analysis Report
Ingersoll Rand Inc. (IR) : Free Stock Analysis Report
