/Keysight%20Technologies%20Inc%20logo%20on%20phone%20and%20website-by%20T_Schneider%20via%20Shutterstock.jpg)
Santa Rosa, California-based Keysight Technologies, Inc. (KEYS) provides electronic design and test solutions to commercial communications, networking, aerospace, defense and government, automotive, energy, semiconductor, electronic, and education industries. Valued at $27.2 billion by market cap, the company offers electronic measurement services using wireless, modular, and software solutions. The communications testing giant is expected to announce its fiscal fourth-quarter earnings for 2024 on Monday, Nov. 18.
Ahead of the event, analysts expect KEYS to report a profit of $1.41 per share on a diluted basis, down 23.8% from $1.85 per share in the year-ago quarter. The company beat the consensus estimates in three of the last four quarters while missing the forecast on another occasion.
For the full year, analysts expect KEYS to report EPS of $5.43, down 28.3% from $7.57 in fiscal 2023. However, its EPS is expected to rise 12.9% year over year to $6.13 in fiscal 2025.
KEYS stock has underperformed the S&P 500’s ($SPX) 38.7% gains over the past 52 weeks, with shares up 29.5% during this period. Similarly, it underperformed the Technology Select Sector SPDR Fund’s (XLK) 41% gains over the same time frame.
Keysight Technologies has been struggling recently due to lower demand, specifically from wireless carriers and China, resulting in declining revenues and squeezed profit margins.
On Aug. 20, KEYS reporting its Q3 results and its shares closed up more than 12% in the following trading session. Its revenue stood at $1.2 billion, down 11.6% year over year. Its adjusted EPS declined 28.3% year over year to $1.57. For Q4, KEYS expects revenue to be in the range of $1.2 billion to $1.3 billion, and expects adjusted EPS to be between $1.53 and $1.59.
Analysts’ consensus opinion on KEYS stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 12 analysts covering the stock, eight advise a “Strong Buy” rating, one suggests a “Moderate Buy” rating, two give a “Hold” rating, and one recommends a “Moderate Sell.” KEYS’ average analyst price target is $169, indicating a potential upside of 8.3% from the current levels.
On the date of publication, Neha Panjwani 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.
