Marine infrastructure company Orion (NYSE:ORN) will be announcing earnings results tomorrow after market hours. Here’s what to expect.
Orion missed analysts’ revenue expectations by 3.6% last quarter, reporting revenues of $226.7 million, up 34.5% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
Is Orion a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Orion’s revenue to grow 34.8% year on year to $271.7 million, improving from the 2.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.18 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. Orion has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Orion’s peers in the construction and maintenance services segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Construction Partners delivered year-on-year revenue growth of 41.6%, beating analysts’ expectations by 9.7%, and Comfort Systems reported revenues up 37.6%, topping estimates by 5.5%. Construction Partners traded down 3.6% following the results while Comfort Systems was also down 4.8%.
Read our full analysis of Construction Partners’s results here and Comfort Systems’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 construction and maintenance services stocks have shown solid performance, the group has generally underperformed, with share prices down 4.9% on average over the last month. Orion is down 8.7% during the same time and is heading into earnings with an average analyst price target of $11.67 (compared to the current share price of $7.12).
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