Pitney Bowes First Quarter Earnings This document contains "forward-looking statements" about the Company's expected or potential future business and financial performance, including, but not limited to, statements about future revenue and earnings guidance, future events or conditions, capital allocation strategy and expected cost savings, elimination of future losses, and anticipated deleveraging in connection with Pitney Bowes' announced strategic initiatives. Forward-looking statements are not guarantee ...

Revenue Performance - Revenue for Q1 2025 was $493 million, down 5% year over year, with GAAP EPS at $0.19, an improvement of $0.21 year over year[5] - Total revenue for Q1 2025 was $493.42 million, a decrease of 5% compared to $521.27 million in Q1 2024[31] - Revenue from Sending Technology Solutions decreased by 9% to $298.06 million, while Presort Services increased by 5% to $177.81 million[33] - SendTech Solutions revenue declined to $298 million, down 9% year over year, while Adjusted Segment EBITDA improved by 2% to $106 million[13] - Presort Services revenue increased by 5% to $178 million, with Adjusted Segment EBITDA rising by 30% to $64 million[17] - The impact of currency on revenue was a gain of $2.14 million, with total revenue in constant currency also reflecting a 5% decrease[33] Earnings and Profitability - Adjusted EPS for Q1 2025 was $0.33, an improvement of $0.14 or 74% year over year[5] - Adjusted diluted earnings per share increased to $0.33 in Q1 2025 from $0.19 in Q1 2024[36] - Net income for Q1 2025 was $35.42 million, compared to a net loss of $2.89 million in Q1 2024[31] Cost Management - The company eliminated $34 million in annualized costs during Q1, increasing its target for net annualized cost savings to $180 million to $200 million[9] - Research and development expenses decreased to $4.76 million in Q1 2025 from $7.63 million in Q1 2024[31] - The company reported a restructuring charge of $1.4 million in Q1 2025, down from $3.77 million in Q1 2024[31] Cash Flow and Shareholder Returns - Free Cash Flow for Q1 was a use of $20 million, consistent with the company's budget and prior guidance[5] - Free cash flow for Q1 2025 was negative $20.46 million, compared to negative $0.34 million in Q1 2024[37] - The company repurchased $15 million of shares under its $150 million authorization during Q1[9] Guidance and Future Plans - The company reaffirmed its full-year 2025 guidance, projecting revenue between $1,950 million and $2,000 million, and Adjusted EPS between $1.10 and $1.30[18] - The company aims to increase the Pitney Bowes Bank Receivables Purchase Program from $84 million to $120 million by the end of 2025[9] - The company is targeting a leverage ratio of 3.0x by Q3 2025[9] Balance Sheet - Total current assets decreased to $1.18 billion as of March 31, 2025, down from $1.32 billion at the end of 2024[32] - Total liabilities decreased to $3.81 billion as of March 31, 2025, compared to $3.98 billion at the end of 2024[32]

Core Viewpoint - Pitney Bowes (PBI) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system emphasizes the correlation between earnings estimate revisions and stock price movements, suggesting that changes in earnings potential are a powerful driver of stock performance [4][6]. - For Pitney Bowes, the recent increase in earnings estimates reflects an improvement in the company's underlying business, likely leading to upward pressure on its stock price [5]. Earnings Estimate Revisions - Analysts project that Pitney Bowes will earn $1.21 per share for the fiscal year ending December 2025, representing a year-over-year increase of 47.6% [8]. - Over the past three months, the Zacks Consensus Estimate for Pitney Bowes has risen by 8%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system categorizes stocks based on earnings estimate revisions, with only the top 20% of stocks receiving a 'Strong Buy' or 'Buy' rating, highlighting their potential for market-beating returns [9][10]. - The upgrade of Pitney Bowes to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a favorable outlook for the stock in the near term [10].

Company Overview - Pitney Bowes (PBI) is based in Stamford and operates in the Computer and Technology sector, with a year-to-date share price change of 14.78% [3] - The company currently pays a dividend of $0.06 per share, resulting in a dividend yield of 2.89%, which is higher than the Office Automation and Equipment industry's yield of 2.48% and the S&P 500's yield of 1.67% [3] Dividend Analysis - The annualized dividend of Pitney Bowes is $0.24, reflecting a 20% increase from the previous year [4] - Over the past five years, the company has increased its dividend once on a year-over-year basis, with an average annual increase of 1.05% [4] - The current payout ratio is 36%, indicating that the company paid out 36% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - Earnings growth for Pitney Bowes appears strong, with the Zacks Consensus Estimate for 2025 projected at $1.21 per share, representing a 47.56% increase from the previous year [5] Investment Opportunity - Pitney Bowes presents a compelling investment opportunity due to its attractive dividend and a strong Zacks Rank of 2 (Buy) [7]

Back in December 2023, we had presented the case for a long position in Pitney Bowes (NYSE: PBI ), an innovative shipping and mailing specialist, that primarily services corporations that account for the bulk of the Fortune 500 (amongst others). PBI, has since, goneAnalyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions ...

Group 1: Company Overview - ACM Research, Inc. (ACMR) is a notable stock within the Computer and Technology sector, which consists of 608 individual stocks [2] - The company currently holds a Zacks Rank of 1 (Strong Buy), indicating a favorable earnings outlook [3] Group 2: Performance Metrics - Over the past three months, the Zacks Consensus Estimate for ACMR's full-year earnings has increased by 40.4%, reflecting improved analyst sentiment [4] - ACMR has achieved a year-to-date return of 22.2%, significantly outperforming the Computer and Technology sector's average return of -17.3% [4] Group 3: Industry Context - ACMR is part of the Semiconductor Equipment - Material Services industry, which ranks 1 in the Zacks Industry Rank, with an average gain of 4.2% this year [6] - In contrast, another stock in the Computer and Technology sector, Pitney Bowes (PBI), has returned 11.7% year-to-date and belongs to the Office Automation and Equipment industry, which ranks 208 [5][7]

Pitney Bowes (PBI) shares have lost 14.5% in the past month, underperforming the Zacks Computer and Technology sector’s decline of 12.2%. The recent decline in PBI’s stock price stems from broader market weakness.A widespread sell-off in tech stocks, triggered by fears of rising trade tensions and slowing economic growth concerns, has put pressure on the entire sector, including Pitney Bowes. However, considering PBI’s strong fundamentals, investors’ concerns seem overblown.Pitney Bowes One Month Price Perf ...

Company Overview - Pitney Bowes (PBI) is headquartered in Stamford and operates in the Computer and Technology sector [3] - The stock has experienced a price change of 10.36% since the beginning of the year [3] Dividend Information - Pitney Bowes currently pays a dividend of $0.06 per share, resulting in a dividend yield of 3% [3] - This yield is higher than the Office Automation and Equipment industry's yield of 2.42% and the S&P 500's yield of 1.76% [3] - The company's annualized dividend of $0.24 has increased by 20% from the previous year [4] - Over the last 5 years, Pitney Bowes has increased its dividend once on a year-over-year basis, with an average annual increase of 1.05% [4] - The current payout ratio is 36%, indicating that the company paid out 36% of its trailing 12-month EPS as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Pitney Bowes' earnings for 2025 is $1.21 per share, reflecting a year-over-year earnings growth rate of 47.56% [5] Investment Appeal - Pitney Bowes is considered an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 1 (Strong Buy) [7]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Group 1: Company Overview - Pitney Bowes (PBI) currently holds a Momentum Style Score of B, indicating potential for strong performance based on price changes and earnings estimate revisions [3] - PBI has a Zacks Rank of 1 (Strong Buy), suggesting it is expected to outperform the market [4] Group 2: Performance Metrics - Over the past week, PBI shares increased by 4.94%, while the Zacks Office Automation and Equipment industry declined by 0.53% [6] - In the last month, PBI's price rose by 14.71%, significantly outperforming the industry's 2.93% [6] - PBI shares have risen by 27.13% over the past quarter and 142.23% over the last year, compared to the S&P 500's -4.73% and 14.1% respectively [7] Group 3: Trading Volume - PBI's average 20-day trading volume is 3,170,652 shares, which serves as a bullish indicator when combined with rising stock prices [8] Group 4: Earnings Outlook - In the past two months, one earnings estimate for PBI increased, while none decreased, raising the consensus estimate from $1.08 to $1.21 [10] - For the next fiscal year, one estimate has moved upwards with no downward revisions, indicating positive earnings momentum [10] Group 5: Conclusion - Given the strong performance metrics and positive earnings outlook, PBI is positioned as a promising investment opportunity with a Momentum Score of B [12]

Core Insights - Zacks Premium offers tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum, aiding in identifying securities likely to outperform the market [2][3] Zacks Style Scores - Each stock is rated from A to F based on value, growth, and momentum characteristics, with higher scores indicating a better chance of outperforming the market [3] - The Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [4] - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings [5] - The Momentum Score assesses trends in stock prices and earnings estimates to identify favorable investment opportunities [6] - The VGM Score combines the three Style Scores to highlight stocks with attractive value, growth forecasts, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to simplify portfolio building [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] - There are over 800 stocks rated 1 or 2, making it essential for investors to utilize Style Scores to select the best options [9] Investment Example: Pitney Bowes (PBI) - Pitney Bowes is a leading provider of mail processing equipment and integrated mail solutions, currently rated 1 (Strong Buy) with a VGM Score of A [11] - The stock has a Momentum Style Score of B and has increased by 14.7% in the past four weeks [11] - Analysts have revised PBI's earnings estimate upwards, with the Zacks Consensus Estimate rising by $0.13 to $1.21 per share, and the company has an average earnings surprise of 96.6% [12]