Industrial and commercial distributor Global Industrial (NYSE: GIC) will be announcing earnings results this Tuesday after the bell. Here’s what you need to know.
Global Industrial beat analysts’ revenue expectations last quarter, reporting revenues of $345.6 million, up 14.3% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and a solid beat of analysts’ revenue estimates.
Is Global Industrial a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Global Industrial’s revenue to grow 7.2% year on year, improving from its flat revenue in the same quarter last year.
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. Global Industrial has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Global Industrial’s peers in the maintenance and repair distributors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. WESCO delivered year-on-year revenue growth of 13.8%, beating analysts’ expectations by 3.7%, and Fastenal reported revenues up 12.4%, in line with consensus estimates. WESCO traded up 16.2% following the results while Fastenal was down 9.3%.
Read our full analysis of WESCO’s results here and Fastenal’s results here.
There has been positive sentiment among investors in the maintenance and repair distributors segment, with share prices up 9.4% on average over the last month. Global Industrial is up 4.4% during the same time and is heading into earnings with an average analyst price target of $40 (compared to the current share price of $33).
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