Knowles (NYSE:KN) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Knowles (NYSE:KN) released its quarterly earnings results on Thursday. The communications equipment provider reported $0.33 earnings per share for the quarter, topping analysts’ consensus estimates of $0.31 by $0.02, FiscalAI reports. The business had revenue of $166.80 million during the quarter, compared to analysts’ expectations of $156.97 million. Knowles had a return on equity of 10.66% and a net margin of 9.10%.The company’s revenue was up 14.3% compared to the same quarter last year. During the same period in the prior year, the business posted $0.24 EPS. Knowles updated its Q3 2026 guidance to 0.340-0.380 EPS.

Here are the key takeaways from Knowles’ conference call:

• Knowles reported a strong Q2 with revenue of $167 million (+14% YoY) and EPS of $0.33 (+38% YoY), both above the high end of guidance.
• Precision Devices was the main growth driver, with revenue up 25% year over year and a 1.4 book-to-bill for the seventh straight quarter above 1.0, signaling continued demand strength.
• Management raised full-year 2026 expectations to 10%–12% revenue growth and 20%–24% adjusted EBITDA growth, well above the targets set at last year’s Investor Day.
• The company highlighted growing momentum in defense, industrial, and MedTech, including a $15 million+ radar order and stronger pricing/capacity requests from customers over the next 24–36 months.
• Knowles expects some near-term moderation in MedTech & Specialty Audio as first-half inventory build runs off, but said the segment remains healthy and could benefit from next-generation design wins over time.

Knowles Price Performance

KN stock opened at $39.25 on Friday. The business’s fifty day moving average price is $37.95 and its 200 day moving average price is $30.90. Knowles has a 12-month low of $18.45 and a 12-month high of $42.93. The company has a current ratio of 3.27, a quick ratio of 1.77 and a debt-to-equity ratio of 0.17. The company has a market capitalization of $3.36 billion, a PE ratio of 61.34 and a beta of 1.59.

Key Stories Impacting Knowles

Here are the key news stories impacting Knowles this week:

• Positive Sentiment: Knowles reported Q2 adjusted EPS of $0.33, beating estimates of $0.31, while revenue of $166.8 million also topped expectations. The company said revenue grew 14.3% year over year, showing solid demand across its specialty electronics businesses. Knowles Reports Q2 2026 Financial Results and Provides Outlook for Q3 2026
• Positive Sentiment: The company’s Q3 2026 outlook came in above Wall Street expectations, with EPS guidance of $0.34 to $0.38 versus consensus of $0.32 and revenue guidance of $167 million to $177 million versus estimates near $163.5 million. That forward guidance suggests management sees continued momentum after the strong quarter. Knowles Reports Q2 2026 Financial Results and Provides Outlook for Q3 2026
• Neutral Sentiment: The earnings call transcript and snapshot articles mainly reinforce the beat-and-raise story, with no major new negatives highlighted. Knowles Corporation (KN) Q2 2026 Earnings Call Transcript

Wall Street Analysts Forecast Growth

KN has been the topic of a number of recent analyst reports. Zacks Research cut shares of Knowles from a “strong-buy” rating to a “hold” rating in a research report on Friday, June 26th. Craig Hallum reiterated a “buy” rating and set a $38.00 price target on shares of Knowles in a research report on Friday, April 24th. Weiss Ratings reissued a “hold (c)” rating on shares of Knowles in a research note on Friday, May 22nd. Finally, Robert W. Baird upped their price objective on shares of Knowles from $30.00 to $39.00 and gave the stock an “outperform” rating in a report on Friday, April 24th. Two analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $33.33.

Insider Activity at Knowles

In other news, CEO Jeffrey Niew sold 142,857 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $33.25, for a total transaction of $4,749,995.25. Following the sale, the chief executive officer owned 883,719 shares of the company’s stock, valued at approximately $29,383,656.75. This represents a 13.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Air A. Jr. Bastarrica sold 3,623 shares of the firm’s stock in a transaction that occurred on Thursday, April 30th. The shares were sold at an average price of $30.91, for a total transaction of $111,986.93. Following the completion of the transaction, the vice president directly owned 47,569 shares of the company’s stock, valued at approximately $1,470,357.79. The trade was a 7.08% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 173,058 shares of company stock worth $5,809,156 in the last three months. 2.24% of the stock is owned by company insiders.

Institutional Investors Weigh In On Knowles

A number of hedge funds have recently added to or reduced their stakes in the business. Royal Bank of Canada increased its position in Knowles by 1.2% during the fourth quarter. Royal Bank of Canada now owns 53,002 shares of the communications equipment provider’s stock worth $1,136,000 after buying an additional 638 shares during the period. Amundi boosted its holdings in shares of Knowles by 4.3% in the third quarter. Amundi now owns 19,691 shares of the communications equipment provider’s stock valued at $481,000 after acquiring an additional 816 shares during the period. Osaic Holdings Inc. boosted its holdings in shares of Knowles by 94.5% in the second quarter. Osaic Holdings Inc. now owns 1,842 shares of the communications equipment provider’s stock valued at $31,000 after acquiring an additional 895 shares during the period. Swiss National Bank grew its position in shares of Knowles by 0.7% during the third quarter. Swiss National Bank now owns 168,600 shares of the communications equipment provider’s stock worth $3,930,000 after acquiring an additional 1,100 shares during the last quarter. Finally, Corient Private Wealth LLC grew its position in shares of Knowles by 8.0% during the second quarter. Corient Private Wealth LLC now owns 20,289 shares of the communications equipment provider’s stock worth $357,000 after acquiring an additional 1,506 shares during the last quarter. 96.35% of the stock is currently owned by institutional investors and hedge funds.

About Knowles

Knowles Corporation (NYSE: KN) is a leading developer and manufacturer of advanced micro-acoustic, audio processing and precision device solutions. The company’s product portfolio includes microelectromechanical systems (MEMS) microphones, balanced armature receivers, acoustic filters, and custom audio processing integrated circuits. These solutions are designed to enable clear speech, enhanced voice capture and intelligent audio performance in a variety of end markets.

Founded in 1946, Knowles has evolved from its roots in vacuum tube components to become a pure-play audio technology provider following its spin-off from Dover Corporation in 2014.