Carrier Global Prepares for Upcoming Earnings Report Amidst Mixed Performance
Carrier Global Corporation (CARR), founded in 1915 and based in Palm Beach Gardens, Florida, stands as a prominent provider of heating, ventilation, air conditioning (HVAC), refrigeration, and fire and security solutions worldwide. With a market cap of $61.4 billion, Carrier is dedicated to providing innovative and eco-friendly solutions that boost energy efficiency and comfort in various environments, including residential, commercial, and industrial spaces. The company plans to announce its fourth-quarter earnings on Tuesday, February 4.
Analysts Predict Lower EPS for Fourth Quarter
Analysts anticipate that Carrier Global will report a profit of $0.50 per share, which reflects a decrease of 5.7% from $0.53 reported in the previous year’s same quarter. Notably, the company has consistently exceeded Wall Street’s earnings-per-share (EPS) estimates in the last four quarters.
Strong Performance Despite Recent Setbacks
In its most recent quarter, Carrier achieved adjusted earnings of $0.83 per share, surpassing the consensus estimate by 2.5%. This strong performance resulted from organic growth in HVAC, the acquisition of Viessmann, and various operational improvements.
Looking Ahead: Fiscal 2024 Expectations
For fiscal 2024, analysts forecast Carrier Global to report an EPS of $2.51, down 8.1% from $2.73 in fiscal 2023. As the company prepares for another year, these estimates reflect the challenges ahead.
Stock Performance Overview
Over the past 52 weeks, shares of Carrier Global have increased by 21.3%, although this lags behind the S&P 500 Index’s ($SPX) 24.4% increase. Conversely, the stock has outperformed the Industrial Select Sector SPDR Fund’s (XLI) 18.4% gains during the same timeframe.
Recent Earnings Impact on Stock
On October 24, shares of Carrier Global fell by over 8% following the announcement of its Q3 earnings. Despite reporting a year-over-year revenue increase of 21% to $6 billion, this figure was short of Wall Street’s estimate of $6.6 billion.
2024 Guidance and Analyst Sentiment
For the upcoming fiscal year, Carrier Global’s guidance emphasizes ongoing operations, with free cash flow encompassing both continuing and discontinued operations. The company predicts $22.5 billion in sales, backed by an expected 3% organic growth rate.
The overall outlook for CARR stock remains moderately positive, receiving a “Moderate Buy” rating from analysts. Out of 22 analysts covering the stock, 11 recommend a “Strong Buy,” one a “Moderate Buy,” and 10 suggest holding.
CARR’s average analyst price target is set at $85, suggesting a potential upside of 24.2% from current levels.
On the date of publication, Rashmi Kumari did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are intended for informational purposes only. For further details, please see the Barchart Disclosure Policy. More news from Barchart
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