Amphenol (APH) to report earnings tomorrow: here is what to expect

What happened

Amphenol, an electrical connector manufacturer, will report earnings Wednesday before the market opens. Last quarter it reported revenue of $8.76 billion, up 55% year on year. Analysts expect this quarter's revenue to grow 53.8% year on year.

Confirmed

Global impact / market context

Amphenol's revenue growth shows strong demand for its electrical connectors, which are parts used in electronics and equipment. If growth meets the 53.8% estimate, it suggests the company is keeping its sales momentum, which supports profit and investor confidence in the business.

Analyst inference

Peers Knowles and Jabil already reported strong revenue growth, beating estimates, which suggests solid demand across electronic components. Amphenol has a history of beating Wall Street expectations, so investors may compare its results and outlook against these peers when trading the stock.

Analyst inference

What to watch

1. Amphenol's reported revenue and whether it grows 53.8% year on year, against analysts' expectations. This shows if demand for its electrical connectors held up, since connectors are parts used in electronics and equipment. Confirmed
2. Watch whether Amphenol's management gives revenue guidance for the next quarter above analysts' expectations, because last quarter its guidance exceeded estimates and that supported confidence in future sales growth. Proposed
3. Compare Amphenol's revenue growth with Knowles' 20.3% and Jabil's 28.6%, since those peers beat estimates. A slower result could suggest Amphenol is losing share of electronic component demand. Analyst inference

Evidence

• stockstory.org