W.W. Grainger, Inc. (NYSE:GWW) is a leading North American distributor of material-handling equipment, safety and security supplies. The company remains focused on providing the lowest total cost maintenance, repair and operating (MRO) solution to select customer groups.
The company is anticipated to benefit from its key initiatives, including sales force effectiveness and vertical alignment of the sales force in the United States, medium-sized customer acquisition and growth of the online model globally. It remains focused on creating value for customers, delivering a seamless customer experience and reducing costs in 2017. In the second half of 2017, Grainger estimates volume growth will be between 6% and 8%, driven by price changes and marketing advertisements.
However, Grainger’s results in the near term will be affected by inflationary expenses. Even though Grainger remains focused on improving gross margins and reducing its cost structure in Canada, the segment continues to be challenged due to higher expenses. In addition, Grainger’s oil and gas and energy exposure in Canada is very high.
Let’s have a quick look at Grainger’s third-quarter release.
Estimate Trend & Surprise History
Investors should note that the earnings estimate revisions for Grainger have moved south ahead of the third quarter earnings release. The Zacks Consensus Estimate has gone down 0.8% over the last 60 days and currently stands at $2.57 for the quarter.
W.W. Grainger, Inc. Price and EPS Surprise
W.W. Grainger, Inc. (GWW): Free Stock Analysis Report
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