Sensata Q2 Beats Across the Board, Guides Q3 Above Street
ST sits 63% above its 52-week low of $28.16.
Summary
Sensata delivered a clean beat: Q2 revenue of $990.6M topped the $970.3M consensus, and adjusted EPS of $0.98 sailed past the $0.93 estimate. Adjusted operating income of $193.3M crushed the $153.2M expectation, driven by strength in Automotive and Aerospace/Defense segments. Q3 guidance calls for revenue of $957M-$987M and adjusted EPS of $0.93-$0.97, both above current Street views. The company also completed its upsized $400M debt tender, cleaning up the balance sheet. This follows a strong Q1 and the June tender increase to $400M, reinforcing a pattern of execution and financial discipline. With shares at 12x forward earnings, the beat and raise could force a re-rating from the prevailing hold-heavy analyst consensus.
At the time of this announcement, ST was trading at $46.00 on NYSE in the Manufacturing sector, with a market capitalization of approximately $6.7B. The 52-week trading range was $28.16 to $53.89. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.