- FY Adjusted EBITDA Forecast Cut: The forecast for adjusted EBITDA has been lowered to a range of $610 million to $620 million, down from the previous $620 million to $640 million. The market estimate was $631.5 million.
- Third Quarter Results:
- Adjusted EPS: Achieved $1.13, below the estimate of $1.23.
- Net Revenue: Reported $917.9 million, missing the estimate of $944.2 million.
- Adjusted Gross Margin: Recorded at 30.4%.
- Adjusted EBITDA: Came in at $165.3 million, falling short of the $171.2 million estimate.
- Revenue Growth Projection: Net revenue growth is expected to be up approximately 2%, with organic revenue remaining flat year-on-year.
- Adjusted EBITDA Growth: Anticipated to be between 5% and 7% year-on-year.
- Adjusted EPS Forecast: Expected to be in the range of $4.10 to $4.20, reflecting a year-on-year growth of between 6% and 9%.
- Volume Growth Impact: “Our volume growth during the quarter was impacted by slowing market demand in certain durable goods markets in EA, and we are adjusting our full year outlook accordingly.”
- Analyst Recommendations:
- 3 Buy Ratings
- 2 Hold Ratings
- 1 Sell Rating
A look at H.B. Fuller Co. Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, the long-term outlook for H.B. Fuller Co. appears promising. With a Momentum score of 4, the company is showing strong positive price trends that may continue in the future. A Value score of 3 suggests that the company is reasonably priced, while a Growth score of 3 indicates potential for expansion. However, the company’s Dividend and Resilience scores are lower at 2, reflecting room for improvement in these areas.
H.B. Fuller Company, a global manufacturer of adhesives, sealants, coatings, and specialty chemical products, operates in multiple markets worldwide including North America, Europe, Latin America, the Asia Pacific region, India, the Middle East, and Africa. While the company shows promising momentum and growth potential, investors may want to keep an eye on its dividend and resilience factors to assess the overall stability and long-term performance of H.B. Fuller Co.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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