• Symbotic shares are consolidating. What should traders watch with SYM?

Earnings Snapshot

Symbotic reported quarterly earnings of two cents per share, which missed the consensus estimate of three cents, and revenue of $629.99 million beat the Street estimate of $623.11 million.

The company expects second-quarter revenue of $650 million to $670 million, versus the $639.24 million analyst estimate.

Analyst View

DA Davidson analyst Matt J. Summerville kept a Neutral rating on the stock.

The analyst writes that following the close, the company reported sales exceeding expectations, $12 million above our model and $7 million above consensus, along with adjusted EBITDA and gross profit margins ahead of projections.

Summerville says that the revenue guidance for the second quarter also came in well above both model and consensus at the midpoint, with adjusted EBITDA guidance higher than the analyst’s estimate and $16 million above consensus.

The analyst writes that he believes the company has a strong balance sheet.

The liquidity gives the company significant flexibility to aggressively advance its product and technology initiatives while funding growth-related capital expenditures, expanding contract manufacturing and supply chain capabilities, and supporting its previously announced GreenBox JV, adds the analyst.

SYM Price Action: Symbotic shares are trading higher by 0.39% at $53.69 at publication on Thursday.

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