Benzinga | Feb 17, 2021 10:26AM EST

Universal Electronics's Earnings Outlook

On Thursday, February 18, Universal Electronics (NASDAQ:UEIC) will release its latest earnings report. Decipher the announcement with Benzinga's help.

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

Wall Street analysts see Universal Electronics reporting earnings of $0.95 per share on sales of $153.72 million. Universal Electronics earnings in the same period a year ago was $0.9 per share. Quarterly sales came in at $174.69 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 match the consensus estimate when it reports Thursday, earnings would be up 5.56%. Revenue would have fallen 12.01% from the same quarter last year. The company's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 0.91 0.85 0.83 0.83EPS Actual 0.92 0.89 0.81 0.90Revenue Estimate 155.12 M 153.45 M 168.22 M 178.97 MRevenue Actual 153.50 M 153.13 M 151.96 M 174.69 M

Stock Performance

Shares of Universal Electronics were trading at $57.11 as of February 16. Over the last 52-week period, shares are up 26.5%. Given that these returns are generally positive, long-term shareholders are probably content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Universal Electronics is scheduled to hold the call at 06:30:00 ET and can be accessed here.