Nine Energy Service's Earnings Outlook

Nine Energy Service NINE releases its next round of earnings this Monday, March 08. Get the latest predictions in Benzinga's essential guide to the company's Q4 earnings 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

Analysts are predicting Nine Energy Service will report a loss of $0.84 per share on revenue of $56.55 million. Nine Energy Service EPS in the same period a year ago totaled $0.57. Sales were $163.41 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, earnings would be down 47.37%. Sales would be down 65.39% from the year-ago period. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:

Stock Performance

Shares of Nine Energy Service were trading at $3.38 as of March 04. Over the last 52-week period, shares are up 149.26%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Nine Energy Service is scheduled to hold the call at 10:00:00 ET and can be accessed here.