Benzinga | Jun 2, 2021 10:07AM EDT

Preview: CrowdStrike Holdings's Earnings

CrowdStrike Holdings (NASDAQ:CRWD) unveils its next round of earnings this Thursday, June 03. Get prepared with Benzinga's ultimate preview for CrowdStrike Holdings's Q1 earnings.

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

Sell-side analysts expect CrowdStrike Holdings's EPS to be near $0.06 on sales of $291.46 million. In the same quarter last year, CrowdStrike Holdings announced EPS of $0.02 on revenue of $178.08 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 200.0% increase in the company's earnings. Sales would be have grown 63.67% from the same quarter last year. Here is how the company's reported EPS has stacked up against analyst estimates in the past: Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020EPS Estimate 0.08 0 -0.01 -0.06EPS Actual 0.13 0.08 0.03 0.02Revenue Estimate 250.44 M 212.60 M 188.54 M 165.30 MRevenue Actual 264.93 M 232.46 M 198.97 M 178.08 M

Stock Performance

Shares of CrowdStrike Holdings were trading at $222.07 as of June 01. Over the last 52-week period, shares are up 131.02%. 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. CrowdStrike Holdings is scheduled to hold the call at 17:00:00 ET and can be accessed here.