Aerospace and defense company Woodward (NASDAQ:WWD) will be reporting results tomorrow afternoon. Here’s what to expect.

Woodward missed analysts’ revenue expectations by 0.6% last quarter, reporting revenues of $847.7 million, up 5.9% year on year. It was a slower quarter for the company, with a significant miss of analysts’ adjusted operating income estimates and full-year EPS guidance slightly missing analysts’ expectations.

Is Woodward a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Woodward’s revenue to grow 4.4% year on year to $811.1 million, slowing from the 21.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.26 per share.

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. Woodward has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 4.7% on average.

Looking at Woodward’s peers in the aerospace segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Ducommun delivered year-on-year revenue growth of 2.6%, beating analysts’ expectations by 3.8%, and Rocket Lab reported revenues up 54.9%, topping estimates by 2.4%. Ducommun traded up 4% following the results while Rocket Lab was also up 28.3%.

Read our full analysis of Ducommun’s results here and Rocket Lab’s results here.

There has been positive sentiment among investors in the aerospace segment, with share prices up 7.1% on average over the last month. Woodward is up 4.6% during the same time and is heading into earnings with an average analyst price target of $180.31 (compared to the current share price of $172.41).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.