Simpson Manufacturing Co's Earnings Outlook

On Monday, April 26, Simpson Manufacturing Co SSD will report its last quarter's earnings. Here is Benzinga's preview of the company's release.

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

Simpson Manufacturing Co EPS is expected to be around $0.89, according to sell-side analysts. Sales will likely be near $313.83 million. In the same quarter last year, Simpson Manufacturing Co reported EPS of $0.83 on revenue of $283.67 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 when it reports Monday, EPS would be up 7.23%. Revenue would be up 10.63% 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 Simpson Manufacturing Co were trading at $106.27 as of April 22. Over the last 52-week period, shares are up 67.35%. Given that these returns are generally positive, long-term shareholders can be satisfied going into this earnings release.

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