Latest news with #Nuturn
Yahoo
08-05-2025
- Business
- Yahoo
NN (NASDAQ:NNBR) Reports Sales Below Analyst Estimates In Q1 Earnings, Stock Drops 11.5%
Industrial components supplier NN (NASDAQ:NNBR) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 12.8% year on year to $105.7 million. The company's full-year revenue guidance of $445 million at the midpoint came in 2% below analysts' estimates. Its GAAP loss of $0.23 per share was 15% below analysts' consensus estimates. Is now the time to buy NN? Find out in our full research report. NN (NNBR) Q1 CY2025 Highlights: Revenue: $105.7 million vs analyst estimates of $109.7 million (12.8% year-on-year decline, 3.7% miss) EPS (GAAP): -$0.23 vs analyst expectations of -$0.20 (15% miss) Adjusted EBITDA: $10.58 million vs analyst estimates of $11.73 million (10% margin, 9.8% miss) The company dropped its revenue guidance for the full year to $445 million at the midpoint from $465 million, a 4.3% decrease EBITDA guidance for the full year is $58 million at the midpoint, above analyst estimates of $53.16 million Operating Margin: -4.5%, in line with the same quarter last year Free Cash Flow was -$7.25 million compared to -$4.75 million in the same quarter last year Market Capitalization: $94 million 'NN marked another quarter of solid steps forward across key areas of our transformation, and our results for the quarter have kept us on track with our full-year outlook and five-year plan. Our strategic and transformation-led progress was highlighted by growth and new wins in targeted markets, including stamped, medical, and electrical products, as well as high-value automotive' said Harold Bevis, President and Chief Executive Officer of NN. Company Overview Formerly known as Nuturn, NN (NASDAQ:NNBR) provides metal components, bearings, and plastic and rubber components to the automotive, aerospace, medical, and industrial sectors. Sales Growth Examining a company's long-term performance can provide clues about its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. NN struggled to consistently generate demand over the last five years as its sales dropped at a 1.3% annual rate. This wasn't a great result and suggests it's a low quality business. NN Quarterly Revenue Long-term growth is the most important, but within industrials, a half-decade historical view may miss new industry trends or demand cycles. NN's recent performance shows its demand remained suppressed as its revenue has declined by 5% annually over the last two years. NN Year-On-Year Revenue Growth This quarter, NN missed Wall Street's estimates and reported a rather uninspiring 12.8% year-on-year revenue decline, generating $105.7 million of revenue.
Yahoo
18-04-2025
- Business
- Yahoo
NN (NNBR): Buy, Sell, or Hold Post Q4 Earnings?
NN's stock price has taken a beating over the past six months, shedding 59.3% of its value and falling to $1.70 per share. This might have investors contemplating their next move. Is now the time to buy NN, or should you be careful about including it in your portfolio? Get the full stock story straight from our expert analysts, it's free. Even though the stock has become cheaper, we're swiping left on NN for now. Here are three reasons why there are better opportunities than NNBR and a stock we'd rather own. Formerly known as Nuturn, NN (NASDAQ:NNBR) provides metal components, bearings, and plastic and rubber components to the automotive, aerospace, medical, and industrial sectors. A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Unfortunately, NN struggled to consistently increase demand as its $464.3 million of sales for the trailing 12 months was close to its revenue five years ago. This was below our standards and is a sign of poor business quality. We track the long-term change in earnings per share (EPS) because it highlights whether a company's growth is profitable. Sadly for NN, its EPS declined by 16.4% annually over the last five years while its revenue was flat. This tells us the company struggled because its fixed cost base made it difficult to adjust to choppy demand. Free cash flow isn't a prominently featured metric in company financials and earnings releases, but we think it's telling because it accounts for all operating and capital expenses, making it tough to manipulate. Cash is king. While NN posted positive free cash flow this quarter, the broader story hasn't been so clean. NN's demanding reinvestments have drained its resources over the last five years, putting it in a pinch and limiting its ability to return capital to investors. Its free cash flow margin averaged negative 1.1%, meaning it lit $1.14 of cash on fire for every $100 in revenue. We cheer for all companies making their customers lives easier, but in the case of NN, we'll be cheering from the sidelines. Following the recent decline, the stock trades at 1.6× forward EV-to-EBITDA (or $1.70 per share). While this valuation is optically cheap, the potential downside is huge given its shaky fundamentals. There are better stocks to buy right now. We'd suggest looking at our favorite semiconductor picks and shovels play. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free. Sign in to access your portfolio
