Benzinga | Apr 23, 2021 10:14AM EDT

Covenant Logistics Group Earnings Preview

Covenant Logistics Group (NASDAQ:CVLG) releases its next round of earnings this Monday, April 26. Here is Benzinga's essential guide to Covenant Logistics Group's Q1 earnings report.

Net Income, Earnings, And Earnings Per Share

Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.

Earnings And Revenue

Based on management's projections, Covenant Logistics Group analysts model for earnings of $0.36 per share on sales of $206.15 million. Covenant Logistics Group's loss in the same period a year ago was $0.09 per share. Quarterly sales came in at $213.55 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 Monday, earnings would be up 500.0%. Revenue would be down 3.47% from the same quarter last year. Here is how the Covenant Logistics Group's reported EPS has stacked up against analyst estimates in the past:

Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020EPS Estimate 0.61 0.54 -0.01 -0.10EPS Actual 0.61 0.56 0.03 -0.09Revenue Estimate 228.07 M 209.55 M 178.90 M 199.27 MRevenue Actual 225.23 M 210.83 M 191.69 M 213.55 M

Stock Performance

For a full 12 months, the return has risen by 136.79%. Given that these returns are generally positive, long-term shareholders are probably relaxed 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. Covenant Logistics Group is scheduled to hold the call at 11:00:00 ET and can be accessed here.