Transcat, Inc. (TRNS) Misses Q2 Earnings and Revenue Estimates

Core Viewpoint - Transcat, Inc. reported quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.47 per share, representing a year-over-year decline from $0.41 per share [1][2] Financial Performance - The company posted revenues of $67.83 million for the quarter ended September 2024, which was 4.06% below the Zacks Consensus Estimate and an increase from $62.8 million a year ago [2] - Over the last four quarters, Transcat has surpassed consensus EPS estimates three times and topped revenue estimates two times [2] Stock Performance - Transcat shares have increased approximately 9.5% since the beginning of the year, while the S&P 500 has gained 21.8% [3] - The current Zacks Rank for Transcat is 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.44 on revenues of $71.9 million, and for the current fiscal year, it is $2.06 on revenues of $287.03 million [7] - The estimate revisions trend for Transcat is mixed, and changes in earnings expectations may occur following the recent earnings report [6][7] Industry Context - The Instruments - Control industry, to which Transcat belongs, is currently in the bottom 33% of over 250 Zacks industries, which may impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry outlook can materially affect stock performance [5][8]