27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
On Wednesday, December 16, Qutoutiao (NASDAQ:QTT) will release its latest earnings report. Here is Benzinga's outlook for the company.
What Are Earnings, Net Income, And Earnings Per Share?
Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.
Earnings And Revenue
Based on Qutoutiao management projections, analysts predict EPS of $0.09 on revenue of $175.24 million. Qutoutiao reported a loss of $0.46 when it published results during the same quarter last year. Sales in that period totaled $196.80 million.
What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?
Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.
If the company were to match the consensus estimate when it reports Wednesday, EPS would be up 80.43%. Sales would be down 10.96% on a year-over-year basis. Here is how the company's EPS has stacked up against analyst estimates in the past:
| Quarter | Q2 2020 | Q1 2020 | Q4 2020 | Q3 2019 |
|---|---|---|---|---|
| EPS Estimate | -0.12 | -0.23 | -2.21 | -0.35 |
| EPS Actual | -0.11 | -0.27 | -0.27 | -0.46 |
| Revenue Estimate | 210.03 M | 197.54 M | 1.63 B | 196.40 M |
| Revenue Actual | 204.00 M | 199.40 M | 238.20 M | 196.80 M |
Stock Performance
Over the past 52-week period, shares of Qutoutiao have declined 23.87%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.
Do not be surprised to see the stock move on comments made during its conference call. Qutoutiao is scheduled to hold the call at 20:00:00 ET and can be accessed here.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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