Benzinga | Mar 2, 2021 10:17AM EST

Earnings Outlook For Ituran Location & Control

Ituran Location & Control (NASDAQ:ITRN) will be releasing its next round of earnings this Wednesday, March 03. For all of the relevant information, here is your guide for Wednesday's Q4 earnings announcement.

What Are Earnings, Net Income, 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 Ituran Location & Control reporting earnings of $0.35 per share on sales of $62.82 million. In the same quarter last year, Ituran Location & Control reported earnings per share of $0.31 on sales of $66.18 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 report earnings in line when it publishes results Wednesday, quarterly profit would be up 12.9%. Sales would have fallen 5.07% from the same quarter last year. Here is how the Ituran Location & Control's reported EPS has stacked up against analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 0.31 0.22 0.34 0.34EPS Actual 0.45 0.34 0.31 0.31Revenue Estimate 59.10 M 49.61 M 64.10 M 65.68 MRevenue Actual 60.33 M 53.31 M 68.37 M 66.18 M

Stock Performance

Shares of Ituran Location & Control were trading at $22.01 as of March 01. Over the last 52-week period, shares are up 9.3%. 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. Ituran Location & Control is scheduled to hold the call at 09:00:00 ET and can be accessed here.