Rogers Earnings: What To Look For From ROG

Advanced materials manufacturer Rogers (NYSE:ROG) will be reporting earnings tomorrow after the bell. Here’s what you need to know.

Rogers missed analysts’ revenue expectations by 4.5% last quarter, reporting revenues of $210.3 million, down 8.2% year on year. It was a slower quarter for the company, with revenue guidance for the next quarter missing analysts’ expectations.

Is Rogers a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Rogers’s revenue to decline 6.3% year on year to $191.8 million, improving from the 8.6% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.44 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Rogers has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Rogers’s peers in the electronic components segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Advanced Energy delivered year-on-year revenue growth of 2.5%, beating analysts’ expectations by 5.5%, and Belden reported revenues up 20.8%, topping estimates by 1.7%. Advanced Energy traded up 11% following the results while Belden’s stock price was unchanged.

Read our full analysis of Advanced Energy’s results here and Belden’s results here.

Valuation multiples for many growth stocks have not yet reverted to their early 2021 highs, but the market has been optimistic as of late due to a soft landing. This is an economic situation where rate hikes successfully quelled inflation but did not send the economy into a recession. Furthermore, recent rate cuts and Donald Trump's triumph in the 2024 Presidential election have been tailwinds for the market, and while some of the electronic components stocks have shown solid performance, the group has generally underpeformed, with share prices down 4.4% on average over the last month. Rogers is down 9.2% during the same time and is heading into earnings with an average analyst price target of $125 (compared to the current share price of $88.81).

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