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Market Overview

A Preview Of BlackBerry's Earnings

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On Tuesday, March 30, BlackBerry (NYSE:BB) 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

Wall Street expects EPS of $0.03 and sales around $245.11 million. In the same quarter last year, BlackBerry reported EPS of $0.09 on revenue of $291.00 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 report earnings in line when it publishes results Tuesday, quarterly profit would be down 66.67%. Sales would have fallen 15.77% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020
EPS Estimate -0.01 0.02 -0.01 0.04
EPS Actual 0.02 0.11 0.02 0.09
Revenue Estimate 219.72 M 237.95 M 216.80 M 296.30 M
Revenue Actual 224.00 M 266.00 M 214.00 M 291.00 M

eps graph

Stock Performance

Shares of BlackBerry were trading at $9.62 as of March 26. Over the last 52-week period, shares are up 130.99%. Given that these returns are generally positive, long-term shareholders should be content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. BlackBerry is scheduled to hold the call at 17:30:00 ET and can be accessed here.

 

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Posted-In: BZI-EPEarnings