- Snap-On’s fourth-quarter net sales were reported at $1.20 billion, aligning with market estimates and showing a slight increase of 0.2% from the previous year.
- The Commercial & Industrial Group reported net sales of $379.2 million, exceeding estimates of $371.7 million, marking a growth of 4.2% year-over-year.
- Snap-on Tools Group net sales declined by 1.3% year-over-year, amounting to $506.6 million, which was below the estimated $515.7 million.
- Repair Systems & Information Group achieved net sales of $456.6 million, surpassing the expected $454.1 million and reflecting a 1.3% increase year-over-year.
- Financial Services revenue stood at $100.5 million, slightly less than the estimated $100.9 million, but still showing a 3.4% year-over-year growth.
- Earnings per share (EPS) were reported at $4.82, compared to $4.75 the previous year.
- Stock analyst recommendations include 3 buy ratings, 7 hold ratings, and 4 sell ratings.
Snap On Inc on Smartkarma
Analysts on Smartkarma have provided contrasting views on Snap-on Inc (SNA). Value Investors Club published a report recommending to short Snap-on due to recent consecutive earnings disappointments, projecting a 15-20% return in the next twelve months as 2025 earnings are expected to reset lower. The bearish sentiment is driven by intensified competition and a degradation in the Tools business that extends beyond macroeconomic factors.
On the other hand, Baptista Research took a bullish stance after Snap-on Incorporated hit a record high following a solid Q3 performance in 2024. Despite a slight decrease in sales, the company managed to increase operating income and profit margins. With sales at $1.147 billion, slightly lower than the previous year, Baptista Research questions the sustainability of this positive trend. The divergent opinions from Value Investors Club and Baptista Research offer investors a comprehensive view to consider when evaluating Snap-on Inc’s investment potential.
A look at Snap On Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, Snap-on Inc seems to have a positive long-term outlook. The company scores well in Growth and Resilience, indicating promising future prospects and a strong ability to withstand economic challenges. With high scores in Momentum, Snap-on Inc shows solid upward momentum in its market performance. Additionally, average scores in Value and Dividend suggest stability and moderate returns for investors. Overall, Snap-on Inc appears well-positioned for long-term success in the tool and equipment solutions industry.
Snap-on Incorporated, a global developer and distributor of tool and equipment solutions, serves a wide customer base in the automotive service industry, including professional service technicians and motor service shop owners. The company offers a range of products such as hand and power tools, diagnostics software, and tool storage solutions, catering to the diverse needs of its customers. With a focus on innovation and quality, Snap-on Inc continues to solidify its presence in the market, with a positive outlook for future growth and resilience in the face of industry challenges.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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