We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
In the last reported quarter, the company’s earnings and revenues improved year over year. The top and the bottom line also surpassed the Zacks Consensus Estimate.
The company’s earnings surpassed estimates thrice in the last trailing four quarters while missing once, the average surprise being 12.4%.
Q1 Estimates
The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $2.07 billion, indicating an improvement of 4.54% from the prior-year quarter’s actual. The same for earnings is pinned at $2.61 per share, implying a 6.1% increase from the year-ago quarter’s reported figure.
In the past few quarters, Rockwell Automation has witnessed an improvement in order levels. Ongoing capital investments in several end markets, coupled with higher automation and digital transformation, are expected to have supported solid order levels across all segments in the quarter under review. Improved price realization and sales volume are expected to have aided revenues in the first quarter. Our model predicts an organic sales growth of 1% for the quarter.
ROK’s performance has been impacted by ongoing material shortages and production delays in the earlier quarters. However, supply-chain issues have shown signs of easing lately. This is expected to have aided the company’s fiscal first-quarter performance.
However, higher logistics costs and increased spending on product development are expected to have dented ROK’s margin performance. Nonetheless, the company’s price increase actions are likely to have mitigated the impacts of these headwinds.
Segment Expectations
We expect the Intelligent Devices segment’s first-quarter fiscal 2024 revenues to be up 5.7% year over year to $989 million. Our prediction for the segment’s operating profit is pinned at $207.5 million, indicating a year-over-year decrease of 0.9%.
Our model predicts the Software & Control segment’s sales at $588.6 million, suggesting an increase of 2.7% from the prior year’s actual. The same is true for the segment’s operating profit, which is pinned at $190 million, indicating an increase of 13.7% from the year-ago quarter’s reported figure.
We expect the Lifecycle Services segment’s sales to be $488 million, indicating growth of 3.5% from the prior-year period’s actual. The same for the segment’s operating profit, which is pinned at $23.6 million. The figure indicates a fall of 2.8% from the year-ago quarter’s reported figure.
What the Zacks Model Indicates
Our model predicts an earnings beat for ROK this season. 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. That is precisely the case here.
You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Earnings ESP: Rockwell Automation has an Earnings ESP of +6.01%.
Zacks Rank: The company currently carries a Zacks Rank #3.
Price Performance
In the past year, Rockwell Automation’s shares have gained 6.5% compared with the industry’s growth of 6.0%.
Image Source: Zacks Investment Research
Stocks to Consider
Here are some stocks with the right combination of elements to post an earnings beat in their upcoming releases.
The Zacks Consensus Estimate for GGG’s earnings for the fourth quarter is pegged at 79 cents per share. The consensus estimate for the quarterly earnings has remained unchanged in the past 60 days. It has an average trailing four-quarter earnings surprise of 7.2%.
Eaton Corporation (ETN - Free Report) , scheduled to release earnings on Jan 30, has an Earnings ESP of +3.80% and sports a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for ETN’s fourth-quarter earnings is pegged at 95 cents per share. Earnings estimates have moved up 2% in the past 60 days. It has an average trailing four-quarter earnings surprise of 14%.
Caterpillar (CAT - Free Report) , scheduled to release earnings on Feb 5, has an Earnings ESP of +2.02%. CAT currently carries a Zacks Rank of 3.
The consensus estimate for CAT’s earnings for the fourth quarter is pegged at $4.76 per share. Earnings estimates have been unchanged in the past 60 days. It has an average trailing four-quarter earnings surprise of 16.6%.
Image: Bigstock
What's in Store for Rockwell Automation (ROK) in Q1 Earnings?
Rockwell Automation Inc. (ROK - Free Report) is scheduled to report first-quarter fiscal 2024 results on Jan 31, before the opening bell.
Q4 Performance
In the last reported quarter, the company’s earnings and revenues improved year over year. The top and the bottom line also surpassed the Zacks Consensus Estimate.
The company’s earnings surpassed estimates thrice in the last trailing four quarters while missing once, the average surprise being 12.4%.
Q1 Estimates
The Zacks Consensus Estimate for fiscal first-quarter revenues is pegged at $2.07 billion, indicating an improvement of 4.54% from the prior-year quarter’s actual. The same for earnings is pinned at $2.61 per share, implying a 6.1% increase from the year-ago quarter’s reported figure.
Rockwell Automation, Inc. Price and EPS Surprise
Rockwell Automation, Inc. price-eps-surprise | Rockwell Automation, Inc. Quote
Factors to Note
In the past few quarters, Rockwell Automation has witnessed an improvement in order levels. Ongoing capital investments in several end markets, coupled with higher automation and digital transformation, are expected to have supported solid order levels across all segments in the quarter under review. Improved price realization and sales volume are expected to have aided revenues in the first quarter. Our model predicts an organic sales growth of 1% for the quarter.
ROK’s performance has been impacted by ongoing material shortages and production delays in the earlier quarters. However, supply-chain issues have shown signs of easing lately. This is expected to have aided the company’s fiscal first-quarter performance.
However, higher logistics costs and increased spending on product development are expected to have dented ROK’s margin performance. Nonetheless, the company’s price increase actions are likely to have mitigated the impacts of these headwinds.
Segment Expectations
We expect the Intelligent Devices segment’s first-quarter fiscal 2024 revenues to be up 5.7% year over year to $989 million. Our prediction for the segment’s operating profit is pinned at $207.5 million, indicating a year-over-year decrease of 0.9%.
Our model predicts the Software & Control segment’s sales at $588.6 million, suggesting an increase of 2.7% from the prior year’s actual. The same is true for the segment’s operating profit, which is pinned at $190 million, indicating an increase of 13.7% from the year-ago quarter’s reported figure.
We expect the Lifecycle Services segment’s sales to be $488 million, indicating growth of 3.5% from the prior-year period’s actual. The same for the segment’s operating profit, which is pinned at $23.6 million. The figure indicates a fall of 2.8% from the year-ago quarter’s reported figure.
What the Zacks Model Indicates
Our model predicts an earnings beat for ROK this season. 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. That is precisely the case here.
You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Earnings ESP: Rockwell Automation has an Earnings ESP of +6.01%.
Zacks Rank: The company currently carries a Zacks Rank #3.
Price Performance
In the past year, Rockwell Automation’s shares have gained 6.5% compared with the industry’s growth of 6.0%.
Image Source: Zacks Investment Research
Stocks to Consider
Here are some stocks with the right combination of elements to post an earnings beat in their upcoming releases.
Graco (GGG - Free Report) , expected to release earnings on Jan 29, has an Earnings ESP of +4.87% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for GGG’s earnings for the fourth quarter is pegged at 79 cents per share. The consensus estimate for the quarterly earnings has remained unchanged in the past 60 days. It has an average trailing four-quarter earnings surprise of 7.2%.
Eaton Corporation (ETN - Free Report) , scheduled to release earnings on Jan 30, has an Earnings ESP of +3.80% and sports a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for ETN’s fourth-quarter earnings is pegged at 95 cents per share. Earnings estimates have moved up 2% in the past 60 days. It has an average trailing four-quarter earnings surprise of 14%.
Caterpillar (CAT - Free Report) , scheduled to release earnings on Feb 5, has an Earnings ESP of +2.02%. CAT currently carries a Zacks Rank of 3.
The consensus estimate for CAT’s earnings for the fourth quarter is pegged at $4.76 per share. Earnings estimates have been unchanged in the past 60 days. It has an average trailing four-quarter earnings surprise of 16.6%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.