What to Expect from AZZ

Seth Jayson, The Motley Fool
Updated

AZZ (NYS: AZZ) is expected to report Q2 earnings on Sep. 27. Here's what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict AZZ's revenues will grow 27.6% and EPS will increase 34.2%.

The average estimate for revenue is $146.4 million. On the bottom line, the average EPS estimate is $0.51.


Revenue details
 Last quarter, AZZ logged revenue of $127.1 million. GAAP reported sales were 11% higher than the prior-year quarter's $114.3 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, EPS came in at $0.63. GAAP EPS of $0.63 for Q1 were 70% higher than the prior-year quarter's $0.37 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 29.8%, 260 basis points better than the prior-year quarter. Operating margin was 18.2%, 240 basis points better than the prior-year quarter. Net margin was 12.6%, 430 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $568.2 million. The average EPS estimate is $2.08.

Investor sentiment
 The stock has a five-star rating (out of five) at Motley Fool CAPS, with 773 members out of 792 rating the stock outperform, and 19 members rating it underperform. Among 179 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 177 give AZZ a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AZZ is outperform, with an average price target of $33.67.

The article What to Expect from AZZ originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of AZZ. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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