Keysight (KEYS) Surpasses Q4 Earnings and Revenue Estimates

Core Insights - Keysight (KEYS) reported quarterly earnings of $1.91 per share, exceeding the Zacks Consensus Estimate of $1.85 per share, and up from $1.65 per share a year ago, representing an earnings surprise of +3.24% [1] - The company achieved revenues of $1.42 billion for the quarter ended October 2025, surpassing the Zacks Consensus Estimate by 2.07%, and an increase from $1.29 billion year-over-year [2] - Keysight has consistently surpassed consensus EPS and revenue estimates over the last four quarters [2] Earnings Performance - The earnings surprise for the previous quarter was +2.38%, with actual earnings of $1.72 per share compared to an expected $1.68 per share [1] - The current consensus EPS estimate for the upcoming quarter is $1.86, with projected revenues of $1.4 billion, and for the current fiscal year, the EPS estimate is $7.78 on revenues of $5.79 billion [7] Stock Performance and Outlook - Keysight shares have increased approximately 7.5% since the beginning of the year, while the S&P 500 has gained 12.3% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating expectations of underperformance in the near future due to unfavorable estimate revisions prior to the earnings release [6] Industry Context - The Electronics - Measuring Instruments industry, to which Keysight belongs, is currently ranked in the bottom 11% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Keysight's stock performance [5]