Benzinga | Feb 22, 2021 10:07AM EST

Halozyme Therapeutics's Earnings: A Preview

Halozyme Therapeutics (NASDAQ:HALO) releases its next round of earnings this Tuesday, February 23. Get the latest predictions in Benzinga's essential guide to the company's Q4 earnings report.

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

Halozyme Therapeutics EPS is expected to be around $0.53, according to sell-side analysts. Sales will likely be near $120.16 million. In the same quarter last year, Halozyme Therapeutics reported EPS of $0.24 on revenue of $53.66 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

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, earnings would be up 320.83%. Revenue would be up 123.91% from the year-ago period. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 0.20 0.25 -0.02 -0.15EPS Actual 0.25 0.19 -0.04 -0.24Revenue Estimate 60.91 M 66.68 M 42.96 M 56.93 MRevenue Actual 65.32 M 55.22 M 25.35 M 53.66 M

Stock Performance

Shares of Halozyme Therapeutics were trading at $49.68 as of February 19. Over the last 52-week period, shares are up 139.13%. Given that these returns are generally positive, long-term shareholders should be content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Halozyme Therapeutics is scheduled to hold the call at 16:30:00 ET and can be accessed here.