Worthington Steel, Inc. (WS) Lags Q2 Earnings Estimates

Core Insights - Worthington Steel, Inc. reported quarterly earnings of $0.38 per share, missing the Zacks Consensus Estimate of $0.48 per share, but showing an increase from $0.19 per share a year ago, resulting in an earnings surprise of -20.83% [1] - The company posted revenues of $871.9 million for the quarter ended November 2025, exceeding the Zacks Consensus Estimate by 11.35% and up from $739 million year-over-year [2] - Worthington Steel's shares have increased by approximately 11.4% since the beginning of the year, compared to a 15.6% gain in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.68 on revenues of $803 million, and for the current fiscal year, it is $2.72 on revenues of $3.39 billion [7] - The estimate revisions trend for Worthington Steel was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Steel - Specialty industry, to which Worthington Steel belongs, is currently ranked in the top 15% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]