Q2 Earnings Outperformers: Mirion (NYSE:MIR) And The Rest Of The Specialized Technology Stocks

Wrapping up Q2 earnings, we look at the numbers and key takeaways for the specialized technology stocks, including Mirion and its peers.

Companies in this sector, especially if they invest wisely, could see demand tailwinds as the world moves towards more IoT (Internet of Things), automation, and analytics. Enterprises across most industries will balk at taking these journeys solo and will enlist companies with expertise and scale in these areas. However, headwinds could include rising competition from larger technology firms, as digitization lowers barriers to entry in the space. Additionally, companies in the space will likely face evolving regulatory scrutiny over data privacy, particularly for surveillance and security technologies. This could make companies have to continually pivot and invest.

The 8 specialized technology stocks we track reported a strong Q2. As a group, revenues beat analysts’ consensus estimates by 4.1% while next quarter’s revenue guidance was 0.6% below.

Thankfully, share prices of the companies have been resilient as they are up 5.2% on average since the latest earnings results.

Mirion

With its technology protecting workers in over 130 countries and equipment used in 80% of cancer centers worldwide, Mirion Technologies provides radiation detection, measurement, and monitoring solutions for medical, nuclear energy, defense, and scientific research applications.

Mirion reported revenues of $222.9 million, up 7.6% year on year. This print exceeded analysts’ expectations by 3.1%. Overall, it was a very strong quarter for the company with EPS in line with analysts’ estimates and a decent beat of analysts’ full-year EPS guidance estimates.

Unsurprisingly, the stock is down 9.9% since reporting and currently trades at $20.13.

Is now the time to buy Mirion? Access our full analysis of the earnings results here, it’s free.

Best Q2: Napco

Protecting everything from schools to government facilities since 1969, Napco Security Technologies manufactures electronic security devices, access control systems, and communication services for intrusion and fire alarm systems.

Napco reported revenues of $50.72 million, flat year on year, outperforming analysts’ expectations by 14.1%. The business had an incredible quarter with a beat of analysts’ EPS estimates.

Napco pulled off the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 16% since reporting. It currently trades at $36.78.

Is now the time to buy Napco? Access our full analysis of the earnings results here, it’s free.

Slowest Q2: Cognex

Founded in 1981 when computer vision was in its infancy, Cognex develops machine vision systems and software that help manufacturers and logistics companies automate quality inspection and tracking of products.

Cognex reported revenues of $249.1 million, up 4.1% year on year, exceeding analysts’ expectations by 1.3%. Still, it was a slower quarter as it posted a significant miss of analysts’ full-year EPS guidance estimates and revenue guidance for next quarter meeting analysts’ expectations.

Interestingly, the stock is up 31.3% since the results and currently trades at $44.30.

Read our full analysis of Cognex’s results here.

Zebra

Taking its name from the black and white stripes of barcodes, Zebra Technologies provides barcode scanners, mobile computers, RFID systems, and other data capture technologies that help businesses track assets and optimize operations.

Zebra reported revenues of $1.29 billion, up 6.2% year on year. This result met analysts’ expectations. Overall, it was a strong quarter as it also produced an impressive beat of analysts’ EPS guidance for next quarter estimates and a beat of analysts’ EPS estimates.

Zebra had the weakest performance against analyst estimates among its peers. The stock is down 5.6% since reporting and currently trades at $323.

Read our full, actionable report on Zebra here, it’s free.

Crane NXT

Born from a corporate transformation completed in 2023, Crane NXT provides specialized technology solutions for payment processing, banknote security, and authentication systems for financial institutions and businesses.

Crane NXT reported revenues of $404.4 million, up 9.1% year on year. This number topped analysts’ expectations by 5.9%. It was a very strong quarter as it also put up an impressive beat of analysts’ organic revenue estimates and a narrow beat of analysts’ full-year EPS guidance estimates.

The stock is up 8.3% since reporting and currently trades at $61.

Read our full, actionable report on Crane NXT here, it’s free.

Market Update

Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.