Earnings To Watch: HEICO (HEI) Reports Q2 Results

Aerospace and defense company HEICO (NSYE:HEI) will be reporting results today after the bell. Here’s what investors should know.

HEICO met analysts’ revenue expectations last quarter, reporting revenues of $955.4 million, up 38.9% year on year. It was a solid quarter for the company, with a decent beat of analysts’ earnings estimates.

Is HEICO a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting HEICO’s revenue to grow 37.5% year on year to $993.9 million, improving from the 26.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.92 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. HEICO has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 2.2% on average.

Looking at HEICO’s peers in the aerospace segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Ducommun delivered year-on-year revenue growth of 5.2%, beating analysts’ expectations by 1.1%, and Howmet reported revenues up 14.1%, topping estimates by 2.5%. Ducommun traded up 4% following the results while Howmet was also up 15.5%.

Read our full analysis of Ducommun’s results here and Howmet’s results here.

Investors in the aerospace segment have had fairly steady hands going into earnings, with share prices down 1.9% on average over the last month. HEICO is up 3.3% during the same time and is heading into earnings with an average analyst price target of $236.8 (compared to the current share price of $245.03).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.