Fastenal Company (FAST) Q1 2024 Earnings Miss Estimates
Fastenal Company (FAST) Earnings Report Highlights
On Thursday, April 11, 2024, before the market opened, Fastenal Company (FAST) reported its earnings, revealing an actual earnings per share (EPS) of $0.52, which was slightly below the estimated $0.53. Additionally, the company's revenue reached approximately $1.90 billion, falling short of the anticipated $1.91 billion. This news led to a significant decline in FAST's stock value, dropping by 7% as of 3:30 p.m. ET. The financial results did not meet Wall Street's expectations, primarily due to a decrease in demand within the industrial sector, adverse weather conditions, and an unusually early Easter, which complicated year-over-year comparisons.
The company's performance in the first quarter was further detailed by its modest year-over-year sales growth of 1.9%, amounting to $1.9 billion in revenue. Despite these challenges, Fastenal's sales have shown resilience, contributing to a 45% increase in its share price over the past year. However, the recent financial results suggest that investor expectations may have been overly optimistic. The company's sales of fasteners, a key product category, saw a 4.4% decrease compared to the previous year, highlighting the impact of the sluggish demand in the manufacturing sector. The operating profit margin was reported at 20.6%, also below the forecasts, with CEO Daniel Florness emphasizing the need for an increase in customer demand to achieve significant growth moving forward.
Fastenal's financial metrics provide further insight into the company's valuation and financial health. With a price-to-earnings (P/E) ratio of approximately 34.83 on a trailing twelve-month (TTM) basis, investors are shown to be willing to pay a premium for FAST's earnings, reflecting optimism about the company's future profitability despite the recent downturn. The price-to-sales (P/S) ratio stands at about 5.46 TTM, indicating the value that the market places on each dollar of the company's sales. These ratios, along with the enterprise value (EV) to sales ratio of roughly 5.50 TTM and the EV to operating cash flow ratio of approximately 29.41 TTM, suggest that the market has high expectations for Fastenal's sales and cash flow generation capabilities.
Moreover, Fastenal's debt-to-equity ratio of about 0.09 TTM indicates a low level of debt relative to equity, showcasing the company's conservative financing strategy and potentially lower financial risk. The current ratio, sitting at approximately 4.83 TTM, demonstrates Fastenal's strong liquidity position, with the ability to cover its short-term liabilities with its short-term assets more than four times over. This financial stability, however, has been overshadowed by the recent earnings miss and the challenges faced in the first quarter, including the noted adverse weather conditions that reduced sales by 35 to 55 basis points and the ongoing weakness in demand within the industrial sector.
In summary, Fastenal's first-quarter financial results for 2024 reflect the impact of several one-time factors and ongoing challenges in the industrial sector, leading to a decline in stock value and raising concerns about future growth. Despite these setbacks, the company's financial metrics indicate a strong liquidity position and a conservative financing strategy, which may support its resilience in the face of demand fluctuations and other external pressures. Fastenal's management has acknowledged these challenges and is focused on driving customer demand to achieve significant growth moving forward, a critical factor for the company's success in the upcoming quarters.
| Symbol | Price | %chg |
|---|---|---|
| 047050.KS | 51200 | -0.39 |
| HEXA.JK | 5200 | 0.48 |
| CSAP.JK | 244 | -0.82 |
| TIRA.JK | 1785 | 0.28 |
Fastenal Company (NASDAQ:FAST) Quarterly Earnings Preview
- Fastenal is expected to report an EPS of $0.28, marking a 12% increase year-over-year.
- Projected quarterly revenue of approximately $2.07 billion, up from $1.92 billion the previous year.
- Strong financial health indicated by a current ratio of 4.28 and a debt-to-equity ratio of 0.13.
Fastenal Company, listed as NASDAQ:FAST, is a prominent player in the industrial and construction supplies sector. The company is known for its extensive range of products, including fasteners, safety equipment, and industrial supplies. Fastenal competes with other industry giants like Grainger and MSC Industrial Direct. The company is set to release its quarterly earnings on July 14, 2025.
Analysts expect Fastenal to report earnings per share (EPS) of $0.28, reflecting a 12% increase from the previous year. This growth is supported by a 7.6% rise in sales, driven by successful contract wins and the expansion of eBusiness. In May 2025, daily sales surged by 9.3%, with strong performance in manufacturing, safety products, and digital channels.
Fastenal's revenue for the quarter is projected to be approximately $2.07 billion, up from $1.92 billion a year ago. Despite inflationary pressures, the company is implementing cost controls and automation to reduce operating expenses by 60 basis points. This strategic approach aims to maintain profitability while navigating economic challenges.
The company's financial metrics provide insight into its market valuation. Fastenal has a price-to-earnings (P/E) ratio of 43.23, indicating the market's valuation of its earnings. The price-to-sales ratio stands at 6.54, reflecting the company's market value relative to its revenue. Additionally, the enterprise value to sales ratio is 6.58, showing the company's total valuation compared to its sales.
Fastenal's financial health is further highlighted by its strong current ratio of 4.28, indicating its ability to cover short-term liabilities with short-term assets. The company maintains a low debt-to-equity ratio of 0.13, suggesting a conservative approach to leveraging debt. These metrics underscore Fastenal's solid financial position as it prepares to release its quarterly earnings.
Fastenal Company (NASDAQ:FAST) Stock Analysis: A Closer Look at Its Market Position and Future Prospects
- Analysts maintain an "Equal-Weight" rating for Fastenal Company (NASDAQ:FAST), indicating a stable investment outlook.
- Projected earnings growth with an expected increase in quarterly revenue, highlighting the company's positive growth trajectory.
- Stock volatility and investor interest remain high, with market capitalization and trading volume indicating strong investor confidence.
Fastenal Company (NASDAQ:FAST) is a prominent player in the industrial and construction supplies sector. Known for its extensive range of products, Fastenal serves a diverse clientele, including manufacturers, contractors, and government entities. The company competes with other industry giants like Grainger and MSC Industrial Direct. Fastenal's stock, currently priced at $43.13, has been a focal point for investors and analysts alike.
On July 3, 2025, Stephens maintained its "Equal-Weight" rating for Fastenal, advising investors to hold the stock. This recommendation comes as Fastenal prepares to release its second-quarter earnings on July 14. Analysts expect earnings of 28 cents per share, up from 25 cents in the same period last year, indicating positive growth.
Fastenal's projected quarterly revenue stands at $2.07 billion, an increase from $1.92 billion a year ago. This growth is noteworthy, especially after the company's two-for-one stock split announced on April 23. Despite a recent 0.4% decline in share price, closing at $42.68, the stock has shown resilience with a 1.05% increase, reaching a high of $43.50 today.
Morgan Stanley analyst Chris Snyder, known for his accuracy, also maintained an "Equal-Weight" rating for Fastenal. On May 23, 2025, he adjusted the price target from $38 to $40, reflecting confidence in the company's performance. Fastenal's market capitalization is approximately $49.48 billion, with a trading volume of 2,955,923 shares, indicating strong investor interest.
The stock's fluctuation between $42.63 and $43.50 today, with a 52-week high of $43.50 and a low of $31.02, highlights its volatility. Investors are keenly watching Fastenal's upcoming earnings report, as it could influence future stock performance and analyst ratings.
Fastenal Company (NASDAQ:FAST) Earnings and Stock Analysis
Fastenal Company (NASDAQ:FAST) is a leading entity in the industrial and construction supplies sector, renowned for its comprehensive product lineup, including fasteners, tools, and safety equipment. Competing against industry stalwarts like Grainger and MSC Industrial Direct, Fastenal is on the verge of unveiling its second-quarter earnings on July 14, 2025.
On July 3, 2025, David Manthey from Robert W. Baird established a price target of $86 for FAST, which was trading at $43.13 at that moment. This projection indicates a potential price surge of approximately 99.4%. The forthcoming earnings report from Fastenal is anticipated to reveal earnings of 28 cents per share, an improvement from 25 cents per share in the corresponding period the previous year, signifying positive growth.
Fastenal's expected quarterly revenue is projected to hit $2.07 billion, a rise from $1.92 billion a year earlier. This revenue growth is in harmony with the optimistic price target set by David Manthey. Despite a minor decline of 0.4%, closing at $42.68, the stock has demonstrated resilience with a 1.05% increment, reaching $43.13.
Earlier in the year, Fastenal announced a two-for-one stock split on April 23, aimed at making the stock more accessible to a broader range of investors. Morgan Stanley analyst Chris Snyder maintained an Equal-Weight rating for Fastenal and raised the price target from $38 to $40 on May 23, 2025, reflecting a cautiously optimistic stance.
With a market capitalization of approximately $49.48 billion and a trading volume of 2,955,923 shares, Fastenal's stock has oscillated between a low of $42.625 and a high of $43.5 today, marking its peak price over the past year. The lowest price for the stock in the past year was $31.015, showcasing its upward trajectory.
Fastenal Company Executes 1-for-2 Stock Split Amidst AI Market Excitement
- Fastenal Company (NASDAQ:FAST) executed a 1-for-2 stock split, reflecting a broader trend of stock splits driving market indices to record highs.
- The stock split resulted in a significant decrease in share price by 50.12%, with current trading at $40.63.
- Despite the split, Fastenal's market capitalization remains robust at approximately $46.61 billion, highlighting investor interest amidst AI market excitement.
Fastenal Company, trading under the symbol NASDAQ:FAST, executed a 1-for-2 stock split on May 22, 2025. This strategic move is part of a broader trend on Wall Street, where stock splits have been instrumental in driving market indices to record highs. Since its IPO, Fastenal's shares have surged by an impressive 214,200%, showcasing its remarkable growth trajectory.
Despite the stock split, FAST's current share price is $40.63, reflecting a significant decrease of 50.12%, or $40.83. The stock has fluctuated between $40.14 and $40.94 during the day, with a 52-week range of $30.68 to $42.44. This volatility is not uncommon following a stock split, as investors adjust to the new share price.
Fastenal's market capitalization is approximately $46.61 billion, with a trading volume of 1,783,402 shares. While stock splits do not impact a company's market capitalization or operational performance, they are a strategic tool to adjust share price and outstanding share count, making shares more accessible to a broader range of investors.
The excitement around stock splits is further fueled by the ongoing interest in artificial intelligence (AI). According to PwC, AI could contribute $15.7 trillion to the global economy by 2030, presenting a significant opportunity for investors. This fascination with AI complements the strategic moves like stock splits, as companies position themselves for future growth.
Fastenal Company's Financial Performance and Market Position
- Stable EPS: Fastenal reported an EPS of $0.52, demonstrating consistent profitability.
- Revenue Growth: The company's revenue increased by 3.4% to $1.96 billion, surpassing market expectations.
- Strong Financial Ratios: Fastenal's P/E ratio, debt-to-equity ratio, and liquidity ratios indicate a solid financial health and market valuation.
Fastenal Company, listed on NASDAQ:FAST, is a key player in the wholesale distribution of industrial and construction supplies. The company is known for its extensive range of products and services, catering to various industries. Fastenal competes with other major distributors in the sector, maintaining a strong market presence through its strategic operations and financial performance.
On April 11, 2025, Fastenal reported its earnings, revealing an EPS of $0.52, which matched the estimated EPS. This consistency in earnings per share, as highlighted by Zacks, reflects the company's stable financial performance. The EPS remained unchanged from the previous year, indicating steady profitability despite market fluctuations.
Fastenal's revenue for the quarter ending March 2025 was approximately $1.96 billion, marking a 3.4% increase from the same period last year. This revenue slightly exceeded the Zacks Consensus Estimate of $1.95 billion, resulting in a positive surprise of 0.63%. Such revenue growth is crucial for investors as it demonstrates the company's ability to surpass market expectations.
The company's financial ratios provide further insights into its performance. Fastenal's P/E ratio is around 39.97, indicating how much investors are willing to pay for each dollar of earnings. The price-to-sales ratio of about 6.10 and enterprise value to sales ratio of roughly 6.13 suggest a strong valuation in the market. These metrics are essential for evaluating the company's financial health and market position.
Fastenal's debt-to-equity ratio of approximately 0.13 indicates a low level of debt compared to its equity, reflecting financial stability. The current ratio of about 4.67 suggests strong liquidity, meaning the company can easily cover its short-term liabilities. These financial metrics are vital for assessing Fastenal's ability to sustain its operations and growth in the competitive industrial supply sector.
Fastenal Company's Financial Performance and Market Position
- Stable EPS: Fastenal reported an EPS of $0.52, demonstrating consistent profitability.
- Revenue Growth: The company's revenue increased by 3.4% to $1.96 billion, surpassing market expectations.
- Strong Financial Ratios: Fastenal's P/E ratio, debt-to-equity ratio, and liquidity ratios indicate a solid financial health and market valuation.
Fastenal Company, listed on NASDAQ:FAST, is a key player in the wholesale distribution of industrial and construction supplies. The company is known for its extensive range of products and services, catering to various industries. Fastenal competes with other major distributors in the sector, maintaining a strong market presence through its strategic operations and financial performance.
On April 11, 2025, Fastenal reported its earnings, revealing an EPS of $0.52, which matched the estimated EPS. This consistency in earnings per share, as highlighted by Zacks, reflects the company's stable financial performance. The EPS remained unchanged from the previous year, indicating steady profitability despite market fluctuations.
Fastenal's revenue for the quarter ending March 2025 was approximately $1.96 billion, marking a 3.4% increase from the same period last year. This revenue slightly exceeded the Zacks Consensus Estimate of $1.95 billion, resulting in a positive surprise of 0.63%. Such revenue growth is crucial for investors as it demonstrates the company's ability to surpass market expectations.
The company's financial ratios provide further insights into its performance. Fastenal's P/E ratio is around 39.97, indicating how much investors are willing to pay for each dollar of earnings. The price-to-sales ratio of about 6.10 and enterprise value to sales ratio of roughly 6.13 suggest a strong valuation in the market. These metrics are essential for evaluating the company's financial health and market position.
Fastenal's debt-to-equity ratio of approximately 0.13 indicates a low level of debt compared to its equity, reflecting financial stability. The current ratio of about 4.67 suggests strong liquidity, meaning the company can easily cover its short-term liabilities. These financial metrics are vital for assessing Fastenal's ability to sustain its operations and growth in the competitive industrial supply sector.
Fastenal Company (NASDAQ: FAST) Earnings Preview and Financial Health Analysis
Fastenal Company (NASDAQ: FAST) is a leading distributor of industrial and construction supplies, known for its extensive product range, including fasteners, tools, and safety equipment. Fastenal operates through a network of branches and onsite locations, serving a diverse customer base. The company faces competition from other industrial supply firms like Grainger and MSC Industrial Direct.
Fastenal is set to release its quarterly earnings on April 11, 2025, with analysts estimating an EPS of $0.52. The company's revenue for the quarter is projected to be around $1.95 billion. This earnings report will be released before the market opens, providing investors with early insights into the company's financial performance.
Analysts have adjusted their price expectations for Fastenal in anticipation of the earnings release. The company is expected to show growth in manufacturing, albeit at a slower pace. Fastenal's robust digital strategy and balanced mix of onsite and offsite operations are key factors in its performance. However, softness in industrial markets could impact overall results.
Fastenal's financial health is supported by a low debt-to-equity ratio of 0.13, indicating minimal reliance on debt. The company's strong current ratio of 4.67 suggests it can easily cover short-term liabilities with its assets. These metrics highlight Fastenal's operational efficiency and financial stability as it prepares to announce its first-quarter earnings.
