Maintenance and repair supplier W.W. Grainger (NYSE: GWW) will be announcing earnings results this Friday before the bell. Here’s what to expect.
W.W. Grainger met analysts’ revenue expectations last quarter, reporting revenues of $4.31 billion, up 1.7% year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates but full-year revenue guidance slightly missing analysts’ expectations.
Is W.W. Grainger a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting W.W. Grainger’s revenue to grow 5% year on year to $4.53 billion, improving from the 3.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $10.07 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.
Looking at W.W. Grainger’s peers in the maintenance and repair distributors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Global Industrial delivered year-on-year revenue growth of 3.2%, beating analysts’ expectations by 2%, and VSE Corporation reported revenues up 2.3%, topping estimates by 3.4%. Global Industrial traded up 27% following the results.
Read our full analysis of Global Industrial’s results here and VSE Corporation’s results here.
There has been positive sentiment among investors in the maintenance and repair distributors segment, with share prices up 2.7% on average over the last month. W.W. Grainger is down 1.3% during the same time and is heading into earnings with an average analyst price target of $1,090 (compared to the current share price of $1,038).
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