Rockwell Automation Earnings: What To Look For From ROK

Industrials automation company Rockwell (NYSE:ROK) will be reporting results this Tuesday morning. Here’s what to expect.

Rockwell Automation beat analysts’ revenue expectations last quarter, reporting revenues of $2.24 billion, up 11.9% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ organic revenue estimates and an impressive beat of analysts’ EBITDA estimates.

Is Rockwell Automation a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Rockwell Automation’s revenue to grow 4.9% year on year, in line with the 4.6% increase it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Rockwell Automation has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Rockwell Automation’s peers in the electrical equipment segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Bloom Energy delivered year-on-year revenue growth of 166%, beating analysts’ expectations by 27.7%, and Littelfuse reported revenues up 20.4%, topping estimates by 5.4%. Bloom Energy traded down 1.9% following the results while Littelfuse was up 12.7%.

Read our full analysis of Bloom Energy’s results here and Littelfuse’s results here.

Over the past year, investors have repeatedly shifted their focus from one macro narrative to another (AI disruption and AI capex spending to geopolitics, interest rates, and the broader health of the economy). While some of the electrical equipment stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 5% on average over the last month. Rockwell Automation is down 1.6% during the same time and is heading into earnings with an average analyst price target of $474.58 (compared to the current share price of $478.50).

ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.

AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.