Benzingaยท2025-07-18 13:25Core Insights - Snap-On Inc. reported better-than-expected second-quarter 2025 results, with net sales of $1.179 billion, a flat year-over-year increase, surpassing the consensus estimate of $1.16 billion. EPS for the quarter was $4.72, down from $5.07 YoY, but above the consensus of $4.67 [1][2]. Financial Performance - Quarterly net sales reached $1.179 billion, flat year-over-year, exceeding the consensus estimate of $1.16 billion [1]. - EPS for the quarter was $4.72, down from $5.07 YoY, but above the consensus estimate of $4.67 [1]. Management Commentary - The CEO expressed encouragement regarding the second-quarter results, highlighting the return of sales growth in the U.S. Tools Group and resilient gross margins despite ongoing uncertainties and trade turbulence [2]. - The company is focusing on product development and marketing to align with customer preferences, aiming to regain positive momentum [2]. Future Outlook - Snap-On anticipates continued growth in 2025, expanding its professional customer base in automotive repair and adjacent markets, with projected capital expenditures of $100 million [2]. - The company expects a full-year 2025 effective income tax rate between 22% and 23% [2]. Stock Performance - Snap-On shares gained 7.9% to close at $337.80 following the earnings announcement [3]. - Analysts have adjusted their price targets post-earnings, with Baird maintaining a Neutral rating and raising the target from $329 to $347, while B of A Securities maintained an Underperform rating and raised the target from $265 to $285 [3][8].