W.R. Grace & Co. Second Quarter Earnings Sneak Peek

W.R. Grace & Co. (NASDAQ:GRA) will unveil its latest earnings on Tuesday, July 26, 2011. W.R. Grace & Company iis engaged in the production and sale of specialty chemicals and specialty materials on a global basis through its two operating segments, Grace Davison and Grace Construction Products.

W.R. Grace & Co. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 89 cents per share, a rise of 18.7% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 82 cents. For the year, analysts are projecting net income of $3.36 per share, a rise of 27.8% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 24 cents, reporting profit of 78 cents per share against a mean estimate of net income of 54 cents per share.

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Analyst Ratings: The limited number of analysts covering the stock seem bullish with three analysts rating it as a buy, none rating it as a sell and none rating it as a hold.

Key Stats:

The company has now seen net income fall in each of the last two quarters. In the first quarter, net income fell 3.7% from the year earlier quarter, while the figure dropped 3.2% in the fourth quarter of the last fiscal year.

The company’s revenue has now risen for two straight quarters. In first quarter, revenue increased 13.1% to $695.7 million from the year earlier quarter. In the fourth quarter of the last fiscal year, the figure rose 2.2%.

Competitors to Watch: The Dow Chemical Company (NYSE:DOW), Innospec Inc. (NASDAQ:IOSP), Albemarle Corporation (NYSE:ALB), Rockwood Holdings, Inc. (NYSE:ROC), Sigma-Aldrich Corporation (NASDAQ:SIAL), Celanese Corporation (NYSE:CE), Ferro Corporation (NYSE:FOE), Huntsman Corporation (NYSE:HUN), and Lubrizol Corporation (NYSE:LZ).

Stock Price Performance: During April 25, 2011 to July 20, 2011, the stock price had risen $5.39 (13.1%) from $41.25 to $46.64. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 6, 2011 when shares rose for eight-straight days, rising 13% (+$5.54) over that span. It saw one of its worst periods between May 31, 2011 and June 8, 2011 when shares fell for seven-straight days, falling 10.5% (-$4.93) over that span. Shares are up $11.51 (+32.8%) year to date.

(Source: Xignite Financials)

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