On Tuesday, February 16, Allegion ALLE will release its latest earnings report. Benzinga's outlook for Allegion is included in the following report.
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
Allegion EPS will likely be near $1.19 while revenue will be around $692.76 million, according to analysts. In the same quarter last year, Allegion reported earnings per share of $1.28 on revenue of $719.50 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.
The Wall Street estimate would represent a 7.03% decline in the company's earnings. Sales would have fallen 3.72% from the same quarter last year. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:
Quarter | Q3 2020 | Q2 2020 | Q1 2020 | Q4 2020 |
---|---|---|---|---|
EPS Estimate | 1.19 | 0.84 | 0.89 | 1.29 |
EPS Actual | 1.67 | 0.92 | 1.04 | 1.28 |
Revenue Estimate | 666.04 M | 610.80 M | 657.79 M | 733.46 M |
Revenue Actual | 728.40 M | 589.50 M | 674.70 M | 719.50 M |
Stock Performance
Shares of Allegion were trading at $119.18 as of February 11. Over the last 52-week period, shares are down 11.98%. Given that these returns are generally negative, long-term shareholders are probably upset going into this earnings release.
Do not be surprised to see the stock move on comments made during its conference call. Allegion is scheduled to hold the call at 08:00:00 ET and can be accessed here.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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