Benzinga | Jun 2, 2021 10:07AM EDT

DocuSign's Earnings Outlook

DocuSign (NASDAQ:DOCU) announces its next round of earnings this Thursday, June 03. Here is Benzinga's everything-that-matters guide for this Thursday's Q1 earnings announcement.

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 DocuSign's EPS to be near $0.28 on sales of $436.27 million. DocuSign EPS in the same period a year ago totaled $0.12. Revenue was $297.02 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 match the consensus estimate, earnings would be up 133.33%. Revenue would be up 46.88% from the year-ago period. 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 0.22 0.13 0.08 0.10EPS Actual 0.37 0.22 0.17 0.12Revenue Estimate 407.65 M 361.15 M 318.57 M 280.93 MRevenue Actual 430.90 M 382.92 M 342.21 M 297.02 M

Stock Performance

Shares of DocuSign were trading at $200.38 as of June 01. Over the last 52-week period, shares are up 43.95%. Given that these returns are generally positive, long-term shareholders should be content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. DocuSign is scheduled to hold the call at 16:30:00 ET and can be accessed here.