Carrier Global's Earnings: A Preview

Carrier Global (NYSE:CARR) will release its quarterly earnings report on Thursday, 2025-05-01. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Carrier Global to report an earnings per share (EPS) of $0.58.

The market awaits Carrier Global's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Performance in Previous Earnings

In the previous earnings release, the company beat EPS by $0.06, leading to a 2.39% drop in the share price the following trading session.

Here's a look at Carrier Global's past performance and the resulting price change:

Performance of Carrier Global Shares

Shares of Carrier Global were trading at $60.82 as of April 29. Over the last 52-week period, shares are down 0.02%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Opinions on Carrier Global

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Carrier Global.

A total of 8 analyst ratings have been received for Carrier Global, with the consensus rating being Outperform. The average one-year price target stands at $76.25, suggesting a potential 25.37% upside.

Analyzing Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Johnson Controls Intl, Trane Technologies and Lennox Intl, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Johnson Controls Intl, with an average 1-year price target of $93.75, suggesting a potential 54.14% upside.
• Analysts currently favor an Buy trajectory for Trane Technologies, with an average 1-year price target of $407.71, suggesting a potential 570.36% upside.
• Analysts currently favor an Neutral trajectory for Lennox Intl, with an average 1-year price target of $598.71, suggesting a potential 884.4% upside.

Peer Metrics Summary

The peer analysis summary outlines pivotal metrics for Johnson Controls Intl, Trane Technologies and Lennox Intl, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Carrier Global is positioned at the top for Revenue Growth and Gross Profit among its peers. It ranks in the middle for Return on Equity.

Delving into Carrier Global's Background

Carrier Global manufactures heating, ventilation, and air conditioning, refrigeration, and fire and security products. The HVAC business serves both residential and commercial markets (HVAC segment sales mix is 60% commercial and 40% residential). Carrier's refrigeration segment consists of its transportation refrigeration, Sensitech supply chain monitoring, and commercial refrigeration businesses. The firm's fire and security business manufactures fire detection and suppression, access controls, and intrusion detection products. In April 2023, Carrier announced that it plans to divest its fire and security and commercial refrigeration businesses. The firm also acquired Germany-based Viessmann for approximately $13 billion.

Carrier Global's Economic Impact: An Analysis

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Positive Revenue Trend: Examining Carrier Global's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 19.28% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: Carrier Global's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 49.55%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 17.73%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Carrier Global's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 6.57%, the company showcases efficient use of assets and strong financial health.

Debt Management: Carrier Global's debt-to-equity ratio is below the industry average. With a ratio of 0.9, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

To track all earnings releases for Carrier Global visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.