Benzinga | Mar 16, 2021 11:57AM EDT

Earnings Outlook For Ampco-Pittsburgh

On Wednesday, March 17, Ampco-Pittsburgh (NYSE:AP) will release its latest earnings report. Benzinga's report can help you figure out the ins and outs of the earnings release.

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

Sell-side analysts expect Ampco-Pittsburgh's EPS to be near $0.05 on sales of $86.10 million. In the same quarter last year, Ampco-Pittsburgh reported EPS of $0.15 on revenue of $97.02 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.

If the company were to post earnings in line with the consensus estimate when it reports Wednesday, EPS would be down 66.67%. Sales would be down 11.25% from the year-ago period. Here is how the company's reported EPS has compared to analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 0.06 -0.48 0.11 -0.02EPS Actual 0.07 0.05 0.28 0.15Revenue Estimate 78.10 M 72.10 M 103.30 M 102.70 MRevenue Actual 75.67 M 74.78 M 91.06 M 97.02 M

Stock Performance

Over the last 52-week period, shares are up 257.67%. Given that these returns are generally positive, long-term shareholders can relax going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.

Do not be surprised to see the stock move on comments made during its conference call. Ampco-Pittsburgh is scheduled to hold the call at 10:30:00 ET and can be accessed here.