Market Overview

Preview:'s Earnings

Share: (NASDAQ: SOHU) announces its next round of earnings this Monday, November 16. Here is Benzinga's everything-that-matters guide for this Monday's Q3 earnings announcement.

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 management's projections, analysts modeled for a loss of $0.41 per share on sales of $420.85 million. EPS in the same period a year ago totaled $0.43. Revenue was $482.28 million.

Why Analyst Estimates And Earnings Surprises Are Important

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 Monday, EPS would be up 4.65%. Sales would be down 12.74% on a year-over-year basis. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate -0.03 -0.72 -0.38 -0.89
EPS Actual 0.27 -0.47 0.17 -0.43
Revenue Estimate 433.41 M 427.85 M 427.85 M 451.72 M
Revenue Actual 421.06 M 436.00 M 489.65 M 482.28 M

Stock Performance

Shares of were trading at $18.68 as of November 12. Over the last 52-week period, shares are up 94.6%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. is scheduled to hold the call at 07:30:00 ET and can be accessed here.


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Posted-In: Earnings