Keysight Q3 Orders Soar 56%, Raises Full-Year Guidance
KEYS has more than doubled off its 52-week low of $152.846.
Summary
Keysight delivered a blowout Q3: orders jumped 56% YoY to $2.091B, revenue rose 36% to a record $1.846B, and adjusted EPS of $3.07 crushed the $2.48 consensus. Operating margin expanded 820 bps to 33.2%, exceeding the company's long-term target. Management raised fiscal 2026 sales guidance to $7.095B (from $6.826-$6.934B) and EPS guidance to $11.46, well above the $10.24 estimate. Q4 guidance of $3.34-$3.40 EPS and $1.93-$1.95B revenue also beat expectations. This follows yesterday's initial Q4 revenue guidance release, but today's report adds full Q3 results, order strength, margin expansion, and raised full-year outlook. The stock is up 2.34% premarket to $348.99. The AI infrastructure, advanced semiconductors, and defense modernization demand drivers are clearly accelerating, and the company's core business delivered a 34.7% operating margin with 66% incremental margins. Watch for continued order momentum and the integration of recent acquisitions, which is ahead of schedule with 80-90% of $100M cost synergies expected by fiscal year-end.
At the time of this announcement, KEYS was trading at $320.30 on NYSE in the Technology sector, with a market capitalization of approximately $54.7B. The 52-week trading range was $152.85 to $374.96. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Benzinga.