Stock Story -
Pool equipment and automation systems manufacturer Hayward Holdings (NYSE:HAYW) will be reporting earnings tomorrow before the bell. Here's what to expect.
Hayward beat analysts' revenue expectations by 1.7% last quarter, reporting revenues of $212.6 million, up 1.2% year on year. It was a strong quarter for the company, with an impressive beat of analysts' organic revenue estimates.
Is Hayward a buy or sell going into earnings? Find out by reading the original article on StockStory, it's free.
This quarter, analysts are expecting Hayward's revenue to be flat year on year at $284.4 million, improving from the 29% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.20 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Hayward has missed Wall Street's revenue estimates twice over the last two years.
Looking at Hayward's peers in the home construction materials segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Fortune Brands delivered year-on-year revenue growth of 6.6%, missing analysts' expectations by 3.1%, and Masco reported a revenue decline of 1.7%, in line with consensus estimates. Fortune Brands traded up 9% following the results while Masco was also up 9.7%.
Read the full analysis of Fortune Brands's and Masco's results on StockStory.
There has been positive sentiment among investors in the home construction materials segment, with share prices up 10.9% on average over the last month. Hayward is up 11% during the same time and is heading into earnings with an average analyst price target of $14.5 (compared to the current share price of $13.46).
