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Washington-based Fortive Corporation (FTV) is a leading diversified industrial growth company offering global industrial technology and professional instrumentation solutions. The company operates through Intelligent Operating Solutions; Precision Technologies; and Advanced Healthcare Solutions segments, with a market cap of $25.5 billion. FTV is scheduled to release its fiscal 2024 Q2 earnings results before the market opens on Wednesday, Jul. 24.
Ahead of the event, analysts expect Fortive to report a profit of $0.91 per share, up 7.1% from $0.85 per share in the year-ago quarter. The company has exceeded Wall Street’s EPS estimates in three of the last four quarters and missed on one occasion.
Fortive’s EPS of $0.83 for the last reported quarter rose 10.7% year over year but surpassed the consensus estimate by 5.1%, thanks to the resilience and strength of its diversified portfolio, the exceptional performance of its three key segments and the rigorous application of the Fortive Business System (FBS).
Looking ahead, analysts expect Fortive to report an EPS of $3.80 in fiscal 2024, up 10.8% from $3.43 in fiscal year 2023. Moreover, its fiscal 2025 EPS is projected to rise 8.4% annually to $4.12.
Over the past 52 weeks, FTV stock has surged 1.6%, trailing behind the broader S&P 500 Index's ($SPX) 26.7% gains and the Technology Select Sector SPDR Fund’s (XLK) 36.8% returns over the same time frame.
On Apr. 24, Fortive's stock dropped 5.8% following the release of its Q1 earnings report. Although the company surpassed Wall Street's EPS consensus estimate, its revenue for the quarter was $1.52 billion—up 4.4% year over year but slightly below the forecasted $1.53 billion. Its core revenues increased by 2.5% year over year, fueled by growth in the Intelligent Operating Solutions and Healthcare segments.
The company has achieved 14 consecutive quarters of positive core revenue growth and 15 quarters of adjusted operating margin expansion. This consistent performance highlights the effectiveness of Fortive's strategy to enhance organic growth and business durability. Moreover, the industrial conglomerate raised its 2024 outlook with earnings projected between $3.77 and $3.86 per share and revenue ranging from $6.35 billion to $6.43 billion. For the second quarter of 2024, the company anticipates revenue of approximately $1.6 billion and net earnings per share of $0.90 to $0.93.
The current consensus opinion on Fortive stock is “Moderate Buy” overall. Out of 17 analysts covering the stock, nine suggest a “Moderate Buy,” and eight advise a “Hold.”
Furthermore, the average analyst price target for FTV is $87.28, indicating a potential upside of 20.5% from the current price levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
