Benzinga | Feb 24, 2021 10:18AM EST

Alexander & Baldwin's Earnings: A Preview

On Thursday, February 25, Alexander & Baldwin (NYSE:ALEX) 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

Analysts expect Alexander & Baldwin earnings of $0.03 per share. Revenue will likely be around $83.45 million, according to the consensus estimate. In the same quarter last year, Alexander & Baldwin reported earnings per share of $0.08 on revenue of $107.60 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.

The analyst consensus estimate would represent a 62.5% decline in the company's EPS figure. Revenue would be down 22.44% on a year-over-year basis. Here is how the company's EPS has stacked up against analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate -0.01 -0.02 0.06 0.10EPS Actual -0.06 -0.07 0.09 0.08Revenue Estimate 77.35 M 67.35 M 87.65 M 98.80 MRevenue Actual 77.80 M 73.90 M 80.80 M 107.60 M

Stock Performance

Shares of Alexander & Baldwin were trading at $18.3 as of February 23. Over the last 52-week period, shares are down 6.71%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

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