Dover CorporationDOV is an industrial conglomerate producing wide range of specialized industrial products and manufacturing equipment. The company reported adjusted earnings of $1.16 per share in first-quarter 2018, beating the Zacks Consensus Estimate of $1.13. Earnings also improved 26% year over year.
Revenue: Dover posted revenues of $1.92 billion, which came ahead of the Zacks Consensus Estimate for revenues of $1.89 billion. Revenues also increased 6% year over year, driven by acquisition growth of 1%, organic growth of 4% and a favorable impact from foreign exchange of 4%, partly offset by a 3% impact from dispositions.
Bookings: Dover's bookings at the end of the first quarter were worth $2.11 billion, up from $2.03 billion at the end of first-quarter 2017. Backlog also increased to $1.41 billion at the end of the reported quarter from $1.29 billion at the year-ago quarter end.
Outlook: Dover lowered its adjusted earnings per share guidance for full-year 2018 to $4.70-$4.85 from $5.73-$5.93. Mid-point of the guidance range reflects an increase of 15% over the prior year. This guidance is based on full year revenue growth of 4-5% comprising an organic growth of 3-4%, acquisition growth of 1% and a favorable impact from foreign exchange of 3%, partially offset by a 3% impact from dispositions.
Estimate Trend & Surprise History
Investors should note that the earnings estimate revisions for Dover for the first quarter have moved south ahead of the earnings release. The Zacks Consensus Estimate currently stands at $1.13 for the quarter.
As regards earnings surprise, Dover has outpaced the Zacks Consensus Estimate in each of the past four quarters, with an average beat of 7.26%.
Dover Corporation Price and EPS Surprise
Zacks Rank: Currently, Dover has a Zacks Rank #3 (Hold). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Market Reaction: Dover's shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on this Dover earnings report later!
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