Earnings Preview: Tyco International

Jul.30.12 | About: Tyco International (TYC)

Tyco International (NYSE:TYC) is expected to report Q3 earnings before the market open on Tuesday, July 31 with a conference call scheduled for 8:00 am ET.

Guidance

Analysts are looking for EPS of 93c on revenue of $4.54B. The consensus range is 84c-98c for EPS, and $4.39B-$4.68B for revenue, according to First Call. Tyco reported positive Q2 results, beating both EPS and revenue estimates. On its Q2 conference call, the company raises its FY12 adjusted EPS view to $3.65 from prior $3.55-$3.60, consensus $3.65. It also forecast Q3 EPS 92c, consensus 95c, and revenue "just above" $4.5B, consensus $4.51B. Q3 operating margin was seen to approach 13%, and Q3 organic revenue growth was expected to be in the low teens. Shortly after Q2 results were released in late April, the shares made a fresh 52-week high of $57.75, but have traded moderately lower over the past three months. Since early October of last year, the stock is up approximately 44%, discounting a wealth of positive news.