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Rockwell Automation (ROK) To Report Earnings Tomorrow: Here Is What To Expect

ROK Cover Image

Industrials automation company Rockwell (NYSE: ROK) will be reporting results this Thursday before the bell. Here’s what investors should know.

Rockwell Automation beat analysts’ revenue expectations by 4.9% last quarter, reporting revenues of $2.32 billion, up 13.8% year on year. It was a stunning quarter for the company, with an impressive beat of analysts’ organic revenue estimates and a solid beat of analysts’ EBITDA estimates.

Is Rockwell Automation a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Rockwell Automation’s revenue to grow 10.4% year on year to $2.08 billion, a reversal from the 8.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.48 per share.

Rockwell Automation Total Revenue

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. Rockwell Automation has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Rockwell Automation’s peers in the electrical equipment segment, some have already reported their Q4 results, giving us a hint as to what we can expect. AMETEK delivered year-on-year revenue growth of 13.4%, beating analysts’ expectations by 2.6%, and Emerson Electric reported revenues up 4.1%, in line with consensus estimates.

Read our full analysis of AMETEK’s results here and Emerson Electric’s results here.

There has been positive sentiment among investors in the electrical equipment segment, with share prices up 8.5% on average over the last month. Rockwell Automation is up 6.8% during the same time and is heading into earnings with an average analyst price target of $415.97 (compared to the current share price of $432.50).

Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.

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