Investors might want to bet on Amphenol (APH) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Since a changing earni ...

Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today:Urban Outfitters, Inc. (URBN) : This retail and wholesale company has seen the Zacks Consensus Estimate for its current year earnings increasing 4.4% over the last 60 days.Carnival Corporation & plc (CCL) : This leisure travel services provider has seen the Zacks Consensus Estimate for its current year earnings increasing 3.1% over the last 60 days.Amphenol Corporation (APH) : This fiber optic solutions provider has seen the Zacks Conse ...

UKRAINE - 2021/10/06: In this photo illustration Amphenol Corporation logo seen displayed on a ... [+] smartphone and in the background. (Photo Illustration by Igor Golovniov/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesWe believe that Amphenol stock (NYSE: APH), an electrical, electronic, and fiber optic connectors maker, is currently a better pick than its industry peer, Corning stock (NYSE: GLW). APH stock trades at 6.5x trailing revenues, versus 3.4x for GLW stock, an ...

It has been about a month since the last earnings report for Amphenol (APH) . Shares have added about 4.9% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Amphenol due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts. Amphenol's Q3 Earnings Beat Estimates, Revenues Up ...

Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today:Amphenol Corporation (APH) : This electronics manufacturing company has seen the Zacks Consensus Estimate for its current year earnings increasing 4.6% over the last 60 days.Westinghouse Air Brake Technologies Corporation (WAB) : This rail equipment and services provider has seen the Zacks Consensus Estimate for its current year earnings increasing 2% over the last 60 days.BellRing Brands, Inc. (BRBR) : This nutrition products provider ...

Amphenol (APH) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, APH crossed above the 20-day moving average, suggesting a short-term bullish trend.A well-liked tool among traders, the 20-day simple moving average offers a look back at a stock's price over a 20-day period. This is very beneficial to short-term traders, as it smooths out short-term price trends and gives more trend reversal signals than longer-term moving averages.Simil ...

Investment Strategy - The investment approach is fundamental, bottom-up, long-term, and quality growth-oriented, focusing on companies in niche markets with strong growth potential, solid management teams, sound capital allocation policies, and reasonable valuations [1] - The portfolio targets a 15% annual return and typically consists of 15-20 stocks, emphasizing diversification, risk management, macro-driven sector weights, and disciplined trading and valuations [1] - The strategy avoids chasing quarterly results, herd mentality, and using short-term stock performance as a measure of company quality [1] Portfolio Construction - The portfolio is constructed with a focus on diversification of holdings and risk management, ensuring a balanced exposure across different sectors and companies [1] - Macro-driven sector weights are considered to align the portfolio with broader economic trends and opportunities [1] - Disciplined trading and valuations are key factors in maintaining the portfolio's integrity and performance [1] Disclosure and Independence - The analyst has a beneficial long position in the shares of APH through stock ownership, options, or other derivatives, indicating a vested interest in the company's performance [2] - The article expresses the analyst's independent opinions and is not influenced by compensation or business relationships with the mentioned companies [2]

Investment Rating - The report does not explicitly mention the investment rating for Amphenol (APH) [1][2][3] Core Views - Amphenol's FY24Q3 revenue reached $4 04 billion (YoY +26% QoQ +12%) exceeding the upper end of the previous guidance of $3 8 billion [1][5] - Net income attributable to Amphenol was $604 4 million (YoY +17 61% QoQ +15 71%) with adjusted diluted EPS of $0 48 (YoY +17%) surpassing the guidance of $0 45 [1][5] - Adjusted operating margin hit a record high of 21 9% [1][5] - Orders in Q3 reached a record $4 412 billion (YoY +39% QoQ +9%) with a book-to-bill ratio of 1 09:1 driven by strong IT datacom market performance [1][7] - AI-related products accounted for more than half of the YoY growth in the IT datacom market [1][12] Revenue Breakdown by Segment - Harsh Environment Solutions: $1 194 billion (YoY +35%) [10][11] - Communications Solutions: $1 686 billion (YoY +32%) [10][11] - Interconnect and Sensor Systems: $1 16 billion (YoY +12%) [10][11] AI-Related Business - AI-related products contributed significantly to the growth in the IT datacom market accounting for more than half of the YoY and QoQ growth [12] - The company provides industry-leading high-speed products with the highest operating speeds and lowest latency along with efficient power interconnect products for high-power consumption chips [12] Q4 2024 Guidance - Q4 2024 revenue is expected to be between $3 95 billion and $4 05 billion (YoY +19% to +22%) [13] - Adjusted diluted EPS for Q4 is projected to be $0 48 to $0 50 (YoY +17% to +22%) [13] - Full-year 2024 revenue is expected to be between $14 855 billion and $14 955 billion (YoY +18% to +19%) with adjusted diluted EPS of $1 82 to $1 84 (YoY +21% to +22%) [13] Key Financial Metrics - Operating cash flow in Q3 was $704 million representing 117% of net income [16] - Free cash flow was $476 million representing 79% of net income [16] - The company repurchased 2 7 million shares at an average price of $65 per share returning $308 million to shareholders in Q3 [16] - Total debt at the end of Q3 was $5 5 billion with net debt of $3 9 billion and total liquidity of $4 6 billion [16]

Have you assessed how the international operations of Amphenol (APH) performed in the quarter ended September 2024? For this maker of fiber-optic products, possessing an expansive global footprint, parsing the trends of international revenues could be critical to gauge its financial resilience and growth prospects. In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of grow ...

Net Sales Growth - Net sales in Q3 2024 increased by 26% to $4,038.8 million compared to $3,199.2 million in Q3 2023, driven by strong organic growth in the Communications Solutions segment and moderate growth in the Interconnect and Sensor Systems and Harsh Environment Solutions segments[114] - Net sales for the first nine months of 2024 increased by 18% to $10,904.9 million compared to $9,227.2 million in the same period of 2023, with strong organic growth in the IT datacom, defense, and commercial aerospace markets[115] - Harsh Environment Solutions segment net sales in Q3 2024 increased by 35% in U.S. dollars and 3% organically, driven by contributions from acquisitions and strong growth in IT datacom, commercial aerospace, and mobile networks markets[116] - Communications Solutions segment experienced strong organic growth in Q3 2024, contributing significantly to the overall net sales increase[114] - Organic net sales growth in Q3 2024 was 15%, excluding currency and acquisition impacts[114] - Organic net sales growth for the first nine months of 2024 was 11%, excluding currency and acquisition impacts[115] - The IT datacom, mobile devices, and commercial aerospace markets showed strong organic growth in Q3 2024[114] - The defense market experienced moderate growth in Q3 2024, contributing to the overall increase in net sales[114] - Communications Solutions segment net sales increased 32% in Q3 2024 compared to Q3 2023, driven by strong organic growth in IT datacom, mobile devices, automotive, industrial, and mobile networks markets[117] - Interconnect and Sensor Systems segment net sales increased 12% in Q3 2024 compared to Q3 2023, primarily driven by contributions from acquisitions and strong organic growth in the IT datacom market[118] - Consolidated net sales for Q3 2024 were $4,038.8 million, a 26% increase compared to Q3 2023, with organic net sales growth of 15%[120] - Foreign net sales for Q3 2024 were $2,627.1 million, a 27% increase compared to Q3 2023, with organic net sales growth of 22%[120] Segment Performance - The Harsh Environment Solutions segment accounted for approximately 29% of total net sales in Q3 2024[116] - Communications Solutions segment operating income for Q3 2024 was $431.0 million, or 25.6% of net sales, compared to $283.3 million, or 22.1% of net sales, for Q3 2023[126] - Harsh Environment Solutions segment operating income for Q3 2024 was $283.7 million, or 23.8% of net sales, compared to $239.1 million, or 26.9% of net sales, for Q3 2023[125] - Operating income for the Interconnect and Sensor Systems segment in Q3 2024 was $217.6 million, or 18.8% of net sales, compared to $188.9 million, or 18.3% of net sales, in Q3 2023[127] Financial Performance - Selling, general and administrative expenses were $492.0 million, or 12.2% of net sales, for Q3 2024, compared to $381.6 million, or 11.9% of net sales, for Q3 2023[123] - Operating income for Q3 2024 was $819.5 million, or 20.3% of net sales, compared to $657.9 million, or 20.6% of net sales, for Q3 2023[124] - Adjusted Operating Income for Q3 2024 was $883.1 million, or 21.9% of net sales, compared to $666.9 million, or 20.8% of net sales, for Q3 2023[124] - Interest expense for Q3 2024 was $55.7 million, up from $33.6 million in Q3 2023, driven by higher borrowing levels and interest rates[128] - Effective tax rate for Q3 2024 was 21.4%, compared to 18.2% in Q3 2023, impacted by stock option exercises and acquisition-related expenses[129] - Net income attributable to Amphenol Corporation for Q3 2024 was $604.4 million, with Diluted EPS of $0.48, up from $513.9 million and $0.41 in Q3 2023[130] - Adjusted Operating Income for Q3 2024 was $883.1 million, with an Adjusted Operating Margin of 21.9%, compared to $666.9 million and 20.8% in Q3 2023[131] - Adjusted Net Income attributable to Amphenol Corporation for the first nine months of 2024 was $1,686.9 million, with Adjusted Diluted EPS of $1.34, up from $1,357.1 million and $1.09 in the same period of 2023[132] Cash Flow and Working Capital - As of September 30, 2024, the company had cash, cash equivalents, and short-term investments of $1,583.3 million, down from $1,660.2 million at the end of 2023[133] - Net cash provided by operating activities for the first nine months of 2024 was $1,967.6 million, up from $1,686.9 million in the same period of 2023[138] - Working capital components increased by $197.6 million in the first nine months of 2024, driven by higher accounts receivable, inventories, and prepaid expenses[139] - Accounts receivable increased by $511.9 million to $3,130.3 million, driven by higher sales in Q3 2024 and the impact of 2024 Acquisitions[140] - Inventories increased by $411.7 million to $2,578.8 million, primarily due to the 2024 Acquisitions and higher sales in Q3 2024[140] - Free Cash Flow increased to $1,509.1 million for the nine months ended September 30, 2024, up from $1,421.2 million in the same period in 2023[141] - Net cash used in investing activities was $2,398.2 million in the first nine months of 2024, driven by $2,099.8 million for acquisitions and $458.5 million in capital expenditures[143] - Net cash provided by financing activities was $515.8 million in the first nine months of 2024, primarily due to $1,500.1 million in net cash proceeds from borrowings[145] - Days sales outstanding decreased to 69 days at September 30, 2024, compared to 70 days at December 31, 2023[140] - Inventory days increased to 87 days at September 30, 2024, compared to 85 days at December 31, 2023[140] Acquisitions and Investments - The company's acquisition program played a key role in driving net sales growth across all segments in both Q3 and the first nine months of 2024[114][115][116] - The company completed two acquisitions in 2024, including CIT, for approximately $2,099.8 million, net of cash acquired[161] - The CIT acquisition was completed for approximately $1,995.3 million, net of cash acquired, and was funded through a combination of net proceeds from the New Senior Notes, borrowings under the U.S. Commercial Paper Program, and cash on hand[162] - The company entered into a Purchase Agreement to acquire CommScope's Mobile Networks Business for approximately $2,100 million, expected to close in Q1 2025[166] - The company incurred $63.6 million in acquisition-related expenses in Q3 2024 and $133.6 million in the first nine months of 2024, primarily due to the CIT acquisition[164] - The company completed 10 acquisitions in 2023 for approximately $970.4 million, net of cash acquired, with one acquisition resulting in a non-cash gain of $5.4 million[163] Debt and Financing - The Company increased its Revolving Credit Facility by $500.0 million to $3,000.0 million, maturing in March 2029[147] - The Company issued $1,500.0 million in New Senior Notes in April 2024, including $450.0 million due in 2027, $450.0 million due in 2029, and $600.0 million due in 2034[153] - The Company repaid $350.0 million in 3.20% Senior Notes upon maturity in April 2024[154] - The company's Euro Notes have an aggregate principal amount of €500.0 million each, with one series maturing in May 2026 and the other in October 2028[155] - The company manages interest rate risk through a mix of fixed and variable rate debt, with recent fixed-rate senior notes issued in April 2024[176] - As of September 30, 2024, the company had no borrowings outstanding under the Revolving Credit Facility, U.S. Commercial Paper Program, and Euro Commercial Paper Program[176] - The company borrowed under the U.S. Commercial Paper Program in the first nine months of 2024, partially funding the acquisition of Carlisle Interconnect Technologies (CIT) in May 2024[176] - The U.S. Federal Reserve lowered the federal funds rate modestly in September 2024, potentially reducing future interest expenses if the company borrows under floating rate instruments[176] - The company is exposed to foreign currency exchange rate risk, particularly with borrowings under the Euro Commercial Paper Program and Revolving Credit Facility denominated in various foreign currencies[175] - The company does not expect changes in interest rates to have a material effect on income or cash flows for the remainder of 2024[176] Share Repurchases and Dividends - The company repurchased 2.7 million shares for $176.2 million in Q3 2024 and 4.5 million shares for $294.8 million in the first nine months of 2024 under the 2024 Stock Repurchase Program[157] - The company has remaining authorization to repurchase up to $1,669.4 million of its Common Stock under the 2024 Stock Repurchase Program as of October 23, 2024[157] - The company repurchased 4.1 million shares for $225.6 million under the 2021 Stock Repurchase Program in the first nine months of 2024, which were the final repurchases under this program[158] - The company declared quarterly dividends of $0.165 per share in Q3 2024, an increase from $0.105 per share in Q3 2023[159][160] Internal Controls and Risk Management - The company's disclosure controls and procedures were effective as of the end of the reporting period, ensuring timely and accurate financial reporting[177] - There has been no material change in the company's internal control over financial reporting during the most recent fiscal quarter[178] Currency and Interest Rate Impact - The weaker U.S. dollar in Q3 2024 increased sales by approximately $9.2 million compared to Q3 2023[122]