Benzinga | Nov 18, 2020 10:10AM EST

Atkore International Gr's Earnings: A Preview

On Thursday, November 19, Atkore International Gr (NYSE: ATKR) will release its latest earnings report. Decipher the announcement with Benzinga's help.

Net Income, Earnings, 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

Atkore International Gr EPS is expected to be around $0.68, according to sell-side analysts. Sales will likely be near $430.03 million. In the same quarter last year, Atkore International Gr reported earnings per share of $1.01 on revenue of $501.71 million.

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 Thursday, EPS would be down 32.67%. Revenue would be down 14.29% from the same quarter last year. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2019EPS Estimate 0.48 0.85 0.82 0.98EPS Actual 0.67 0.99 0.94 1.01Revenue Estimate 364.64 M 459.39 M 461.62 M 509.72 MRevenue Actual 384.90 M 455.65 M 447.45 M 501.71 M

Stock Performance

Shares of Atkore International Gr were trading at $29.79 as of November 17. Over the last 52-week period, shares are down 18.96%. Given that these returns are generally negative, long-term shareholders are probably unhappy going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Atkore International Gr is scheduled to hold the call at 08:00:00 ET and can be accessed here.