Home and security products company Fortune Brands (NYSE:FBIN) will be announcing earnings results tomorrow after the bell. Here’s what to look for.
Fortune Brands missed analysts’ revenue expectations by 7% last quarter, reporting revenues of $1.16 billion, down 8.4% year on year. It was a softer quarter for the company, with a significant miss of analysts’ organic revenue estimates.
Is Fortune Brands a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Fortune Brands’s revenue to decline 1.5% year on year to $1.14 billion, a reversal from the 2.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.05 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. Fortune Brands has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Fortune Brands’s peers in the building products segment, some have already reported their Q4 results, giving us a hint as to what we can expect. and Lennox reported revenues up 16.5%, topping estimates by 8.9%. Lennox traded down 8.5% following the results.
Read our full analysis of Griffon’s results here and Lennox’s results here.
Investors in the building products segment have had steady hands going into earnings, with share prices up 1.7% on average over the last month. Fortune Brands is up 2.5% during the same time and is heading into earnings with an average analyst price target of $86.37 (compared to the current share price of $69.69).
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