Energy and industrial distributor DistributionNOW (NYSE: DNOW) will be announcing earnings results this Wednesday before market hours. Here’s what to look for.

DistributionNOW beat analysts’ revenue expectations by 1.9% last quarter, reporting revenues of $599 million, up 6.4% year on year. It was a stunning quarter for the company, with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

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

This quarter, analysts are expecting DistributionNOW’s revenue to decline 3.3% year on year to $611.9 million, a reversal from the 6.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.21 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. DistributionNOW has missed Wall Street’s revenue estimates four times over the last two years.

Looking at DistributionNOW’s peers in the industrial distributors segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Watsco’s revenues decreased 3.6% year on year, missing analysts’ expectations by 7.2%, and FTAI Aviation reported revenues up 52.4%, topping estimates by 5.8%. Watsco traded down 2.7% following the results while FTAI Aviation was up 26.5%.

Read our full analysis of Watsco’s results here and FTAI Aviation’s results here.

Investors in the industrial distributors segment have had steady hands going into earnings, with share prices up 1.4% on average over the last month. DistributionNOW is up 8.9% during the same time and is heading into earnings with an average analyst price target of $17 (compared to the current share price of $14.88).

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