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Diebold Nixdorf (DBD) to Report Q2 Earnings: What's in the Cards?

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Diebold Nixdorf (DBD - Free Report) is set to release its second-quarter 2024 results on Aug 7.

The Zacks Consensus Estimate for the top line is currently pegged at $899.3 million.

The consensus mark for earnings is pegged at $1.11 per share, unchanged in the past 30 days. 

Let’s see how things have shaped up for this announcement:

Diebold Nixdorf, Incorporated Price and EPS Surprise

 

Diebold Nixdorf, Incorporated Price and EPS Surprise

Diebold Nixdorf, Incorporated price-eps-surprise | Diebold Nixdorf, Incorporated Quote

 

Factors to Note

Diebold Nixdorf’s second-quarter performance is expected to have benefited from a continued strong product backlog and growing managed services offering.

DBD’s product backlog remained strong at $1.1 billion at the end of the first quarter, indicating continued strong demand for its self-service and automation technologies. This backlog is likely to have provided a solid foundation for sustained revenue growth.

DBD is gaining traction in the market with its managed services offering, exemplified by closing a five-year managed service agreement with a Top 5 bank in Western Europe in first-quarter 2024. The shift toward an outsourced service model by banks and retailers is expected to have driven further service growth in the to-be-reported quarter.

The introduction of DBD’s advanced solutions like the Retail Smart Vision, which automates self-checkout age-restricted items using AI and computer vision technology, is expected to have enhanced operational efficiency and customer service in retail settings. Live pilots with global retailers to address SHRINK-related issues during checkout are expected to have been a tailwind.

In the banking sector, the recently-launched DN Series recyclers, including a standalone weatherized unit in North America, are expected to have driven growth in second-quarter 2024. The high-capacity note recycler is gaining traction in cash-heavy markets and the simplified software portfolio is expanding multi-vendor opportunities.

The simplification of Diebold Nixdorf’s software portfolio, making it easier to deploy and update across multiple hardware environments, is expanding multi-vendor opportunities. This is likely to have driven higher revenues and better customer satisfaction in the quarter under review.

Diebold Nixdorf is also benefiting from strong cash recycling technology adoption across North America, Latin America, Europe and the Asia-Pacific region, driving product and service revenue growth.

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.

Diebold Nixdorf has an Earnings ESP of 0.00% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks to Consider

Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:

Shopify (SHOP - Free Report) has an Earnings ESP of +7.78% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

Shopify’s shares have declined 30.1% year to date. SHOP is set to report its second-quarter 2024 results on Aug 7.

DigitalOcean (DOCN - Free Report) has an Earnings ESP of +2.19% and a Zacks Rank of #1 at present.

DigitalOcean’s shares have declined 21.8% year to date. DOCN is set to report its second-quarter 2024 results on Aug 8.

MKSI (MKSI - Free Report) has an Earnings ESP of +7.28% and a Zacks Rank #1.

MKSI’s shares have gained 3.6% year to date. MKSI is set to report second-quarter 2024 results on Aug 7.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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