Medical equipment and services company Steris (NYSE: STE). will be reporting earnings tomorrow after the bell. Here’s what investors should know.
STERIS missed analysts’ revenue expectations by 0.6% last quarter, reporting revenues of $1.37 billion, up 5.6% year on year. It was a decent quarter for the company, with full-year EPS guidance in line with analysts’ estimates.
Is STERIS a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting STERIS’s revenue to grow 3.8% year on year to $1.47 billion, slowing from the 10.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.60 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. STERIS has missed Wall Street’s revenue estimates six times over the last two years.
Looking at STERIS’s peers in the surgical equipment & consumables - diversified segment, some have already reported their Q1 results, giving us a hint as to what we can expect. CONMED delivered year-on-year revenue growth of 2.9%, beating analysts’ expectations by 2.6%, and Solventum reported revenues up 2.7%, topping estimates by 2.7%. CONMED traded up 16.9% following the results while Solventum was also up 5.2%.
Read our full analysis of CONMED’s results here and Solventum’s results here.
There has been positive sentiment among investors in the surgical equipment & consumables - diversified segment, with share prices up 4.5% on average over the last month. STERIS is up 4.1% during the same time and is heading into earnings with an average analyst price target of $251.36 (compared to the current share price of $233.10).
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