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The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Mirion (NYSE:MIR) and the rest of the inspection instruments stocks fared in Q3.
Measurement and inspection instrument companies may enjoy more steady demand because products such as water meters are non-discretionary and mandated for replacement at predictable intervals. In the last decade, digitization and data collection have driven innovation in the space, leading to incremental sales. But like the broader industrials sector, measurement and inspection instrument companies are at the whim of economic cycles. Interest rates, for example, can greatly impact civil, commercial, and residential construction projects that drive demand.
The 6 inspection instruments stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 2% while next quarter’s revenue guidance was 11.2% above.
Luckily, inspection instruments stocks have performed well with share prices up 19% on average since the latest earnings results.
Slowest Q3: Mirion (NYSE:MIR)
With its monitoring devices installed on spacecraft, Mirion (NYSE:MIR) offers radiation technology to government agencies, healthcare providers, and industrial companies.
Mirion reported revenues of $206.8 million, up 8.2% year on year. This print exceeded analysts’ expectations by 1.5%. Despite the top-line beat, it was still a softer quarter for the company with a significant miss of analysts’ EBITDA and EPS estimates.
“Third quarter results were in-line with our expectations,” stated Thomas Logan, Mirion’s Chief Executive Officer.
Interestingly, the stock is up 31.4% since reporting and currently trades at $18.46.
Read our full report on Mirion here, it’s free.
Best Q3: FARO (NASDAQ:FARO)
Launched by two PhD students in a garage, FARO (NASDAQ:FARO) provides 3D measurement and imaging systems for the manufacturing, construction, engineering, and public safety industries.
FARO reported revenues of $82.56 million, down 4.9% year on year, outperforming analysts’ expectations by 4.5%. The business had an exceptional quarter with EPS guidance for next quarter exceeding analysts’ expectations.
FARO delivered the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 38% since reporting. It currently trades at $25.96.
Is now the time to buy FARO? Access our full analysis of the earnings results here, it’s free.
Badger Meter (NYSE:BMI)
The developer of the world’s first frost-proof water meter in 1905, Badger Meter (NYSE:BMI) provides water control and measure equipment to various industries.