Fluid and coating equipment company Graco (NYSE:GGG) will be reporting results tomorrow afternoon. Here’s what to look for.

Graco missed analysts’ revenue expectations by 3.4% last quarter, reporting revenues of $519.2 million, down 3.8% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ adjusted operating income estimates.

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

This quarter, analysts are expecting Graco’s revenue to decline 1.7% year on year to $556.9 million, a reversal from the 2.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.76 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Graco has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Graco’s peers in the industrial machinery segment, some have already reported their Q4 results, giving us a hint as to what we can expect. 3M’s revenues decreased 3.2% year on year, missing analysts’ expectations by 0.8%, and Worthington reported a revenue decline of 8.1%, in line with consensus estimates. 3M traded up 5.7% following the results while Worthington was also up 10.2%.

Read our full analysis of 3M’s results here and Worthington’s results here.

There has been positive sentiment among investors in the industrial machinery segment, with share prices up 6.3% on average over the last month. Graco is up 2.5% during the same time and is heading into earnings with an average analyst price target of $91.75 (compared to the current share price of $85.86).

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