Teledyne Technologies Earnings Preview

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Watch Teledyne Technologies' (NYS: TDY) earnings report to see if it can beat analyst expectations for the fifth consecutive quarter. The company will unveil its latest earnings on Thursday, Oct. 27. Teledyne Technologies is a provider of sophisticated electronic components and subsystems as well as instrumentation and communications products. These include defense electronics and monitoring and control instrumentation.

What analysts say:

  • Buy, sell, or hold?: Analysts strongly back Teledyne Technologies, with four of seven rating it a buy and the remainder rating it a hold. Analysts like Teledyne Technologies better than competitor Alliant Techsystems overall. That rating hasn't budged in three months as analysts have remained steady in their opinion of the stock.
  • Revenue forecasts: On average, analysts predict $491.3 million in revenue this quarter. That would represent a rise of 10.7% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.85 per share. Estimates range from $0.83 to $0.88.

What our community says:
CAPS All-Stars are solidly backing the stock with 98.8% assigning it an "outperform" rating. The community at large agrees with the All-Stars with 97.6% giving it a rating of "outperform." Fools are gung-ho about Teledyne Technologies, though the message boards have been quiet lately with only 76 posts in the past 30 days. Teledyne Technologies has a bullish CAPS rating of five out of five stars that is about on par with the Fool community assessment.

Management:
Teledyne Technologies' profit has risen year over year by an average of more than twofold over the past five quarters. The company's revenue has now risen for two straight quarters. The company raised its gross margin by 4.3 percentage points in the last quarter. Revenue rose 13.6% while cost of sales rose 6.7% to $330.6 million from a year earlier.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters.

Quarter

Q2

Q1

Q4

Q3

Gross Margin

34.3%

33.1%

31.5%

30.7%

Operating Margin

12.3%

11.7%

14.4%

10.6%

Net Margin

30.3%

6.8%

11.5%

6.8%

For all our Teledyne Technologies-specific analysis, including earnings and beyond, add Teledyne Technologies to My Watchlist.

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At the time this article was published

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