Earnings To Watch: Simpson (SSD) Reports Q3 Results Tomorrow

Building products manufacturer Simpson (NYSE:SSD) will be reporting earnings this Monday after the bell. Here’s what you need to know.

Simpson beat analysts’ revenue expectations by 5.3% last quarter, reporting revenues of $631.1 million, up 5.7% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ revenue estimates and a solid beat of analysts’ EBITDA estimates.

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

This quarter, analysts are expecting Simpson’s revenue to grow 3% year on year to $604.9 million, improving from the 1.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.34 per share.Simpson Total Revenue

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. Simpson has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time since going public by 3.6% on average.

Looking at Simpson’s peers in the building products segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Apogee delivered year-on-year revenue growth of 4.6%, beating analysts’ expectations by 2.1%, and Valmont reported revenues up 2.5%, topping estimates by 1.5%. Apogee traded down 4.5% following the results while Valmont was also down 1.8%.

Read our full analysis of Apogee’s results here and Valmont’s results here.

There has been positive sentiment among investors in the building products segment, with share prices up 3.7% on average over the last month. Simpson is up 2.4% during the same time and is heading into earnings with an average analyst price target of $191.67 (compared to the current share price of $175.32).

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