On Monday, April 26, Amkor Technology AMKR 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 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
Sell-side analysts expect Amkor Technology's EPS to be near $0.46 on sales of $1.32 billion. In the same quarter last year, Amkor Technology posted EPS of $0.26 on sales of $1.15 billion.
Why Analyst Estimates And Earnings Surprises Are Important
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.
If the company were to post earnings in line with the consensus estimate when it reports Monday, EPS would be up 76.92%. Revenue would be up 14.48% from the same quarter last year. Here is how the Amkor Technology's reported EPS has stacked up against analyst estimates in the past:
|Quarter||Q4 2021||Q3 2020||Q2 2020||Q1 2020|
|Revenue Estimate||1.30 B||1.25 B||1.05 B||1.10 B|
|Revenue Actual||1.37 B||1.35 B||1.17 B||1.15 B|
Shares of Amkor Technology were trading at $23.08 as of April 22. Over the last 52-week period, shares are up 130.13%. 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. Amkor Technology is scheduled to hold the call at 17:00:00 ET and can be accessed here.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.