Looking back on specialized technology stocks’ Q4 earnings, we examine this quarter’s best and worst performers, including Crane NXT (NYSE: CXT) and its peers.
Companies in this sector, especially if they invest wisely, could see demand tailwinds as the world moves towards more IoT (Internet of Things), automation, and analytics. Enterprises across most industries will balk at taking these journeys solo and will enlist companies with expertise and scale in these areas. However, headwinds could include rising competition from larger technology firms, as digitization lowers barriers to entry in the space. Additionally, companies in the space will likely face evolving regulatory scrutiny over data privacy, particularly for surveillance and security technologies. This could make companies have to continually pivot and invest.
The 8 specialized technology stocks we track reported a mixed Q4. As a group, revenues were in line with analysts’ consensus estimates while next quarter’s revenue guidance was 0.7% below.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 8.5% since the latest earnings results.
Crane NXT (NYSE: CXT)
Born from a corporate transformation completed in 2023, Crane NXT (NYSE: CXT) provides specialized technology solutions for payment processing, banknote security, and authentication systems for financial institutions and businesses.
Crane NXT reported revenues of $399.1 million, up 11.8% year on year. This print fell short of analysts’ expectations by 2.7%. Overall, it was a slower quarter for the company with a miss of analysts’ organic revenue estimates and EPS in line with analysts’ estimates.
The stock is down 9.5% since reporting and currently trades at $53.01.
Read our full report on Crane NXT here, it’s free.
Best Q4: PAR Technology (NYSE: PAR)
Originally founded in 1968 as a defense contractor for the U.S. government, PAR Technology (NYSE: PAR) provides cloud-based software, payment processing, and hardware solutions that help restaurants manage everything from point-of-sale to customer loyalty programs.
PAR Technology reported revenues of $105 million, up 50.2% year on year, outperforming analysts’ expectations by 4.3%. The business had an incredible quarter with a solid beat of analysts’ ARR and EPS estimates.
PAR Technology pulled off the biggest analyst estimates beat and fastest revenue growth among its peers. The market seems happy with the results as the stock is up 5.3% since reporting. It currently trades at $63.90.
Is now the time to buy PAR Technology? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Napco (NASDAQ: NSSC)
Protecting everything from schools to government facilities since 1969, Napco Security Technologies (NASDAQ: NSSC) manufactures electronic security devices, access control systems, and communication services for intrusion and fire alarm systems.
Napco reported revenues of $42.93 million, down 9.7% year on year, falling short of analysts’ expectations by 13.9%. It was a disappointing quarter as it posted a significant miss of analysts’ EPS estimates.
Napco delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 32.9% since the results and currently trades at $24.62.
Read our full analysis of Napco’s results here.
OSI Systems (NASDAQ: OSIS)
With security scanners deployed at airports and borders worldwide and patient monitors used in hospitals across the globe, OSI Systems (NASDAQ: OSIS) designs and manufactures specialized electronic systems for security screening, patient monitoring, and optoelectronic applications.
OSI Systems reported revenues of $419.8 million, up 12.5% year on year. This result beat analysts’ expectations by 3.3%. It was a strong quarter as it also logged a decent beat of analysts’ EPS estimates.
The stock is up 19.5% since reporting and currently trades at $201.88.
Read our full, actionable report on OSI Systems here, it’s free.
Mirion (NYSE: MIR)
With its technology protecting workers in over 130 countries and equipment used in 80% of cancer centers worldwide, Mirion Technologies (NYSE: MIR) provides radiation detection, measurement, and monitoring solutions for medical, nuclear energy, defense, and scientific research applications.
Mirion reported revenues of $254.3 million, up 10.4% year on year. This number surpassed analysts’ expectations by 3.8%. Overall, it was a strong quarter as it also recorded a solid beat of analysts’ EPS estimates.
The stock is down 4.6% since reporting and currently trades at $15.43.
Read our full, actionable report on Mirion here, it’s free.
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