Motorola Solutions Prepares to Unveil Q3 Earnings on November 7
Motorola Solutions, Inc. (MSI) will release its third-quarter 2024 results on Nov. 7, following market close. In its previous quarter, the company achieved an earnings surprise of 7.64%, and over the last four quarters, it has averaged an earnings surprise of 8.06%.
Stay informed with quarterly reports: Check out Zacks Earnings Calendar.
Based in Chicago, Motorola Solutions is anticipated to report an increase in revenues compared to last year, supported by growth in both its Products and Systems Integration and Services and Software segments. The company’s emphasis on innovation positions it favorably amidst rising demand for its mission-critical technologies in North America and around the globe.
Key Drivers for MSI’s Third-Quarter Performance
During the quarter, the Tyne and Wear Fire and Rescue Service selected Motorola Control Room Solution to enhance emergency response capabilities. Oakland, CA, chose Motorola’s PremierOne dispatch software to improve communication for police, fire, and emergency services, while Germany’s Thuringian state police opted for MSI VB400 body cameras to enhance safety measures.
As part of a contract with the Thuringian Ministry of the Interior, Motorola will provide over 1,200 VB400 body cameras. Additionally, Milwaukee and Waukesha counties partnered with Motorola to upgrade their public safety communication by integrating into the Wisconsin Public Safety Network, which is expected to drive extra revenue.
In this upcoming quarter, Motorola acquired Noggin, a global firm specializing in cloud-based business continuity and critical event management software. This acquisition supports Motorola’s strategy to strengthen their emergency coordination capabilities, enhancing their presence in the public safety and enterprise security markets.
Moreover, MSI launched a new research and development center in Cork, Ireland, focusing on developing software for its LMR portfolio, with plans to branch out into additional technologies. These strategic initiatives are likely to have bolstered Motorola’s offerings and market potential.
The Zacks Consensus Estimate for revenues from the Products and Systems Integration segment stands at $1.76 billion, showing an increase from $1.61 billion in the same quarter last year. We project revenues for this segment to be around $1.67 billion, which indicates a year-over-year growth of 3.5%. For the Services and Software segment, the consensus estimate is $1.61 billion, up from $1.49 billion last year. We predict revenue here to reach $1.07 billion, reflecting a robust annual growth of 14.3%.
The overall revenue consensus for the quarter is $2.76 billion, signaling an increase from the $2.56 billion reported a year ago. Analysts have set the adjusted earnings per share consensus at $3.36, a rise from $3.19, attributed to the anticipated top-line growth.
Insights on MSI’s Earnings Outlook
Currently, our model does not definitively indicate an earnings beat for Motorola in the third quarter. While the combination of a positive Earnings ESP and a Zacks Rank of #1 (Strong Buy), #2 (Buy), or #3 (Hold) increases the chances for an earnings beat, this is not applicable in this instance.
MSI’s Earnings ESP: The Earnings ESP, which reflects the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, stands at 0.00%. Utilize our Earnings ESP Filter to find the best stocks to buy or sell ahead of their reports.
Zacks Rank of MSI: Motorola currently holds a Zacks Rank of #4 (Sell).
Motorola Solutions, Inc. Price and EPS Surprise
Motorola Solutions, Inc. price-eps-surprise | Motorola Solutions, Inc. Quote
Consider These Stocks
If you’re exploring investment options, here are some companies that may have the right mix for a potential earnings beat this season:
The Earnings ESP for Fortinet (FTNT) is +1.25%, and it currently has a Zacks Rank of 2. They will report their quarterly results on Nov. 7.
You can also find the complete list of Zacks #1 Rank stocks here.
The Earnings ESP for Qualcomm Technologies, Inc. (QCOM) is +0.48%, with a current Zacks Rank of 2. They are set to release their quarterly results on Nov. 6.
The Earnings ESP for Arista Networks, Inc. (ANET) is +0.72%, and it holds a Zacks Rank of 1. The company will also report its numbers on Nov. 7.
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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
