Adhesive manufacturing company Avery Dennison (NYSE:AVY) will be reporting earnings tomorrow before market hours. Here’s what you need to know.

Avery Dennison missed analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $2.18 billion, up 4.1% year on year. It was a slower quarter for the company, with a slight miss of analysts’ organic revenue estimates and EPS in line with analysts’ estimates.

Is Avery Dennison a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Avery Dennison’s revenue to grow 3.7% year on year to $2.19 billion, in line with the 4.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.41 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Avery Dennison has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Avery Dennison’s peers in the industrials segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Packaging Corporation of America delivered year-on-year revenue growth of 10.7%, beating analysts’ expectations by 0.6%, and LSI reported revenues up 35.5%, topping estimates by 14.3%. LSI traded up 11.7% following the results.

Read our full analysis of Packaging Corporation of America’s results here and LSI’s results here.

There has been positive sentiment among investors in the industrials segment, with share prices up 3.6% on average over the last month. Avery Dennison is up 3.3% during the same time and is heading into earnings with an average analyst price target of $220.58 (compared to the current share price of $193.30).

Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.