The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Honeywell (NASDAQ:HON) and the rest of the general industrial machinery stocks fared in Q4.
Automation that increases efficiency and connected equipment that collects analyzable data have been trending, creating new demand for general industrial machinery companies. Those who innovate and create digitized solutions can spur sales and speed up replacement cycles, but all general industrial machinery companies are still at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.
The 14 general industrial machinery stocks we track reported a slower Q4. As a group, revenues beat analysts’ consensus estimates by 2.6% while next quarter’s revenue guidance was 2.5% below.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 11.6% since the latest earnings results.
Honeywell (NASDAQ:HON)
Originally founded in 1906 as a thermostat company, Honeywell (NASDAQ:HON) is a multinational conglomerate known for its aerospace systems, building technologies, performance materials, and safety and productivity solutions.
Honeywell reported revenues of $10.09 billion, up 6.9% year on year. This print exceeded analysts’ expectations by 2.5%. Overall, it was a satisfactory quarter for the company with a solid beat of analysts’ EBITDA estimates.
"We delivered a strong end to a successful year, exceeding the high end of our guidance for fourth quarter sales and adjusted earnings per share1 while navigating a dynamic operating environment," said Vimal Kapur, chairman and CEO of Honeywell.
The stock is down 5.6% since reporting and currently trades at $209.73.
Is now the time to buy Honeywell? Access our full analysis of the earnings results here, it’s free.
Best Q4: GE Aerospace (NYSE:GE)
One of the original 12 companies on the Dow Jones Industrial Average, General Electric (NYSE:GE) is a multinational conglomerate providing technologies for various sectors including aviation, power, renewable energy, and healthcare.
GE Aerospace reported revenues of $10.81 billion, up 14.3% year on year, outperforming analysts’ expectations by 13.7%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
GE Aerospace delivered the fastest revenue growth among its peers. The market seems content with the results as the stock is up 4.7% since reporting. It currently trades at $197.17.
Is now the time to buy GE Aerospace? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Columbus McKinnon (NASDAQ:CMCO)
With 19 different brands across the globe, Columbus McKinnon (NASDAQ:CMCO) offers material handling equipment for the construction, manufacturing, and transportation industries.
Columbus McKinnon reported revenues of $234.1 million, down 7.9% year on year, falling short of analysts’ expectations by 7%. It was a disappointing quarter as it posted a significant miss of analysts’ EBITDA and EPS estimates.
Columbus McKinnon delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 52.2% since the results and currently trades at $16.95.
Read our full analysis of Columbus McKinnon’s results here.
L.B. Foster (NASDAQ:FSTR)
Founded with a $2,500 loan, L.B. Foster (NASDAQ:FSTR) is a provider of products and services for the transportation and energy infrastructure sectors, including rail products, construction materials, and coating solutions.
L.B. Foster reported revenues of $128.2 million, down 5% year on year. This number lagged analysts' expectations by 2%. It was a softer quarter as it also produced a significant miss of analysts’ EBITDA and EPS estimates.
The stock is down 23.5% since reporting and currently trades at $19.79.
Read our full, actionable report on L.B. Foster here, it’s free.
Albany (NYSE:AIN)
Founded in 1895, Albany (NYSE:AIN) is a global textiles and materials processing company, specializing in machine clothing for paper mills and engineered composite structures for aerospace and other industries.
Albany reported revenues of $286.9 million, down 11.3% year on year. This print missed analysts’ expectations by 4.2%. Overall, it was a disappointing quarter as it also recorded full-year revenue guidance missing analysts’ expectations.
Albany had the slowest revenue growth among its peers. The stock is down 12.9% since reporting and currently trades at $68.67.
Read our full, actionable report on Albany here, it’s free.
Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
Join Paid Stock Investor Research
Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.