Earnings Preview: Viridian Therapeutics

Viridian Therapeutics VRDN releases its next round of earnings this Thursday, March 25. Here is Benzinga's essential guide to Viridian Therapeutics's Q4 earnings report.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Analysts covering Viridian Therapeutics have modeled for quarterly EPS loss of $0.61 on revenue of $80.00 thousand. In the same quarter last year, Viridian Therapeutics reported a loss per share of $0.31 on revenue of $880.00 thousand.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.

The Wall Street consensus estimate for earnings would represent a 96.77% decrease for the company. Sales would be down 90.91% on a year-over-year basis. Here is how the Viridian Therapeutics's reported EPS has stacked up against analyst estimates in the past:

Stock Performance

Shares of Viridian Therapeutics were trading at $18 as of March 23. Over the last 52-week period, shares are up 120.71%. 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. Viridian Therapeutics is scheduled to hold the call at 16:30:00 ET and can be accessed here.