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Earnings Preview: Stanley Black & Decker (SWK) Q3 Earnings Expected to Decline
ZACKSยท2025-10-28 15:02

Core Viewpoint - Stanley Black & Decker (SWK) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending September 2025, with the consensus outlook indicating a potential impact on the stock price based on actual results compared to estimates [1][2]. Earnings Expectations - The consensus estimate for Stanley Black & Decker's quarterly earnings is $1.19 per share, reflecting a year-over-year decrease of 2.5%, while revenues are projected to be $3.77 billion, representing a 0.5% increase from the previous year [3]. - The consensus EPS estimate has been revised 0.18% higher in the last 30 days, indicating a slight positive adjustment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP (Expected Surprise Prediction) model suggests that the Most Accurate Estimate for Stanley Black & Decker is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.95%, which indicates a bearish outlook from analysts [11]. - The stock currently holds a Zacks Rank of 3 (Hold), complicating predictions of an earnings beat [11]. Historical Performance - In the last reported quarter, Stanley Black & Decker exceeded the expected earnings of $0.38 per share by delivering $1.08, resulting in a surprise of +184.21% [12]. - Over the past four quarters, the company has successfully beaten consensus EPS estimates each time [13]. Industry Comparison - Lincoln Electric Holdings (LECO), a competitor in the Zacks Manufacturing - Tools & Related Products industry, is expected to report earnings of $2.39 per share for the same quarter, reflecting a year-over-year increase of 11.7%, with revenues projected at $1.04 billion, up 5.9% [17][18]. - Despite a recent EPS estimate revision of 1.5% higher for Lincoln Electric, it also has a negative Earnings ESP of -1.22%, combined with a Zacks Rank of 2 (Buy), making predictions of an earnings beat uncertain [18][19].