Hardware products and merchandising solutions provider Hillman (NASDAQ:HLMN) will be announcing earnings results tomorrow before market open. Here’s what investors should know.
Hillman beat analysts’ revenue expectations by 0.8% last quarter, reporting revenues of $393.3 million, down 1.4% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and full-year EBITDA guidance beating analysts’ expectations.
Is Hillman a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Hillman’s revenue to grow 1.1% year on year to $351.8 million, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.11 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. Hillman has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Hillman’s peers in the professional tools and equipment segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Snap-on posted flat year-on-year revenue, meeting analysts’ expectations, and Kennametal reported a revenue decline of 2.7%, falling short of estimates by 1%. Snap-on traded down 5.2% following the results while Kennametal was also down 6.4%.
Read our full analysis of Snap-on’s results here and Kennametal’s results here.
Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good 2024. An economic soft landing (so far), the start of the Fed's rate cutting campaign, and the election of Donald Trump were positives for the market, and while some of the professional tools and equipment stocks have shown solid performance, the group has generally underperformed, with share prices down 4.6% on average over the last month. Hillman is up 4.1% during the same time and is heading into earnings with an average analyst price target of $13.53 (compared to the current share price of $10.70).
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