Fastenal Q2 Earnings & Sales Beat Estimates, Stock Rises
The company reported earnings per share (EPS) of 29 cents, which beat the Zacks Consensus Estimate of 28 cents and grew 12.7% from the year-ago level of 25 cents per share.Net sales rose 8.6% year over year to $2.08 billion, topping the consensus mark of $2.06 billion. Daily sales also climbed 8.6%, driven primarily by improved customer contract momentum and increased unit sales. Growth came despite a sluggish industrial environment, as larger contract customers and key manufacturing accounts continued to drive incremental gains. Foreign exchange rates positively impacted sales by 10 basis points (bps).Fastenal's unit sales rose in the quarter, driven by more customer sites spending more than $10K per month and modest growth in average sales per site. Product pricing also contributed positively, adding 140–170 bps to net sales.
Fastenal Company price-consensus-eps-surprise-chart | Fastenal Company Quote
Daily sales of Fasteners (mainly used for industrial production and accounting for approximately 30.5% of net sales) increased 6.6% year over year. Sales of Safety Supplies (22.2%) grew 10.7% daily. Sales of the Other Product Lines (47.3%) also increased 9% year over year.On an end-market basis, the daily sales rate of Heavy Manufacturing (which accounted for approximately 42.9% of net sales) rose 7.5% year over year. The daily sales rate of Other Manufacturing (33%) grew 11% compared with the prior year.Furthermore, the daily sales of Non-Residential Construction grew 3% compared with the prior-year quarter, while the same for Other End-Markets grew 8.7% in the same time frame.Daily sales through weighted FMI devices grew 14.4% for the second quarter, representing 44.1% of net sales. In the quarter, daily sales through eProcurement rose 19.3%, while daily sales via eCommerce declined 4.2%.In the second quarter of 2025, Digital Footprint sales (which include FMI technology and non-FMI eBusiness) accounted for 61% of total sales, up from 59.4% in the year-ago period. The company's revised 2025 target for Digital Footprint penetration is 63%–64%, down from the prior goal of 66%–68%.
The gross margin was 45.3% in the reported quarter, up 20 bps year over year. Our model predicted a gross margin of 44.9% for the quarter. This upside was due to increased fastener product availability, which resulted in higher sales and improved gross margin.Selling, general and administrative expenses – as a percentage of net sales – improved to 24.4% from 24.9% reported in the year-ago quarter. Our model predicted SG&A expenses to improve to 24.3%.Operating margin was 21% (higher than our projection of 20.6%), up from 20.2% a year ago.
As of June 30, 2025, Fastenal had cash and cash equivalents of $237.8 million, down from $255.8 million as of Dec. 31, 2024. The long-term debt at the end of the second quarter of 2025 was $100 million, down from $125 million at 2024-end. During the quarter, FAST returned $252.5 million to its shareholders in the form of dividends.In the second quarter of 2025, net cash provided by operating activities totaled $278.6 million, up 8.1% from the year-ago period.
Fastenal currently carries a Zacks Rank #3 (Hold).Here are some better-ranked stocks from the Zacks Industrial Products sector.MSC Industrial Direct Co., Inc. MSM currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.The MSC stock has gained 21% year to date (YTD). The company has a trailing four-quarter earnings surprise of 6%, on average. The Zacks Consensus Estimate for MSC's fiscal 2025 sales and EPS indicates a decline of 1.9% and 24.1%, respectively, from the year-ago period's levels.IperionX Limited IPX currently carries a Zacks Rank #2 (Buy). IperionX stock has lost 4.4% YTD. The Zacks Consensus Estimate for IperionX's current year's bottom line is expected to improve to a loss of 2 cents per share compared with a 10-cent loss reported in the year-ago period.Siemens Aktiengesellschaft SIEGY currently carries a Zacks Rank #2. Siemens stock has gained 34.9% YTD. The Zacks Consensus Estimate for Siemens' current year's sales and EPS indicates growth of 2.3% and 20.5%, respectively, from the year-ago period's levels.
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Ascent Funding Student Loans: 2025 Review
Paying for college often means turning to private student loans — and many of those require a cosigner, especially if you don't have an established credit history or steady income. A cosigner can help you qualify and even secure a lower interest rate. But not everyone has someone they can ask. Ascent Funding offers students the flexibility to apply with or without a cosigner, depending on their financial or academic profile. But it also offers flexible repayment plans, generous loan limits and cash back perks. 3.09% to 15.61% APR with autopay discount (undergraduate new loan). Other rates and loan types are available. Visit Ascent's website for full details. Undergraduate and graduate loans, MBA, medical school, dental school, law school, doctorate and Master's, health professional loans. $2,001 up to $200,000 for undergraduate loans and $400,000 for graduate loans 5, 7, 10, 12, 15, 20 years Deferment and forbearance options available For DACA recipients and non-U.S. citizens or permanent residents No Terms apply. Ascent offers private student loans for students attending eligible undergraduate or graduate programs. If you're a graduate student, you can also apply for a cosigned credit-based loan if you have a creditworthy cosigner, such as a parent, guardian or sponsor, or a non-cosigned credit-based loan if you meet certain credit and income requirements on your own. 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Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent and graduate students, parents, health professionals$5,000 minimum (or up to state); maximum up to cost of attendance5, 7, 10, 15, years; up to 20 years for refinancing loans Terms applyUndergraduate and graduate students, parents, international students with U.S. co-signer$1,000 up to the cost of attendance ($180,000 lifelong maximum)5, 8, 10, 15 years for undergraduate loans, up to 20 years for graduate loans Terms apply To qualify for an Ascent student loan, you must be enrolled at least half-time at an eligible institution. If you're applying for a non-cosigned outcomes-based loan, you must be a junior or senior enrolled full-time, or half-time within nine months of graduation at an eligible school. If you're applying with a cosigner, your cosigner must have a minimum gross annual income of $24,000 for both the current and previous year. For the outcomes-based loan, you'll need to maintain a minimum GPA of 3.0 and meet your school's satisfactory academic progress standards. Borrowers must be at least half-time in a degree program at an eligible U.S. college or university Ascent doesn't publicly disclose specific credit score requirements but approval depends on several factors, including: You can use Ascent's prequalification tool to get a better sense of which loan options you may be eligible for, without impacting your credit score. The exact rates and terms of your Ascent loan may vary based on your credit and program. Ascent offers fixed rates starting as low as 3.09% APR and variable rates starting at 4.31% APR. Ascent offers loan terms of 5, 7, 10, 12, 15 or 20 years. There's no prepayment penalty so you can pay off your loan early without added fees. 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Yahoo
2 days ago
- Yahoo
Chipotle Shares Slide on Weak Same-Store Sales. Time to Buy the Dip or Run for the Hills?
Key Points Chipotle saw its same-store sales decline for the second straight quarter. As a result, the company lowered its forecast and now expects flat comparable-restaurant sales for the year. While the company is currently struggling, much of this looks macro-related, which could make the dip a good buying opportunity. 10 stocks we like better than Chipotle Mexican Grill › Chipotle Mexican Grill (NYSE: CMG) has long been one of the most popular fast-casual restaurant chains around, but this year, the company has been struggling to bring in the same type of customer traffic to its restaurants that it's used to. After not seeing a same-store sales decline since 2020, which was early during the COVID-19 pandemic when people were staying home and businesses were shuttered, the company just reported its second straight quarter of comparable-store-sales decreases when it announced its Q2 results on July 23. The weakness started back in January and continued into the spring. With the stock now down 24% in 2025 as of July 24, let's see if this dip is a buying opportunity or if investors should run for the hills. Traffic declines After seeing its comparable-restaurant sales fall 0.4% in Q1, the weakness continued, with Chipotle seeing a 4% decline in Q2. Transactions sank 4.9%, while its average check size rose 0.9%. The company called out May as being particularly weak, but it then began to see a rebound in June, with comparable sales and traffic turning positive. It credited the launch of its limited-time Adobo Ranch dip offering and "Summer of Extras" reward program for the improvement. It said that while July has been choppy, the positive comp and transaction trends have continued. It also called out the strong performance of its Chipotle Honey Chicken limited time offering, saying it accounted for one out of every four orders. Despite the recent rebound, the company lowered its full-year same-store outlook. 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This is just anecdotal, but if it's more widespread, it could certainly turn some customers off. However, I think it might be easy to fix this issue. Meanwhile, the company still has a long growth runway. It's still really just starting to expand internationally, and it continues to believe it can increase its U.S. locations at an 8% to 10% annual rate. So while Chipotle has certainly become a large operation, it still has plenty of growth ahead. From a valuation standpoint, the stock now trades at a forward price-to-earnings (P/E) multiple of about 38 based on 2025 analyst estimates and 32 based on 2026 estimates. That's not in the bargain bin, but it's cheaper than where it's traded at over the past few years. At this point, while I think there is some room for improvements, I don't think the long-term Chipotle story has changed. I really like its international and continued expansion opportunity, and its core menu and limited time offerings continue to resonate with customers. Consumers still respond to its marketing, and I think it can get back to solid same-store sales growth in a more normal environment. As such, I'd think investors with a long-term outlook can confidently continue to accumulate shares at current levels. Should you invest $1,000 in Chipotle Mexican Grill right now? Before you buy stock in Chipotle Mexican Grill, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Chipotle Mexican Grill wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $636,628!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,063,471!* Now, it's worth noting Stock Advisor's total average return is 1,041% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Geoffrey Seiler has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chipotle Mexican Grill. The Motley Fool recommends the following options: short September 2025 $60 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy. Chipotle Shares Slide on Weak Same-Store Sales. Time to Buy the Dip or Run for the Hills? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Business Insider
2 days ago
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Ghana adds two non-African countries to visa-free list in push for global ties
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