Benzinga | Jul 19, 2021 10:38AM EDT

Earnings Outlook For Neogen

Neogen (NASDAQ:NEOG) announces its next round of earnings this Tuesday, July 20. Here is Benzinga's look at Neogen's Q4 earnings report.

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

Neogen earnings will be near $0.16 per share on sales of $122.32 million, according to analysts. In the same quarter last year, Neogen reported EPS of $0.31 on revenue of $109.07 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 Wall Street consensus estimate for earnings would represent a 48.39% decrease for the company. Sales would be up 12.14% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past: Quarter Q3 2021 Q2 2021 Q1 2021 Q4 2020EPS Estimate 0.26 0.31 0.27 0.30EPS Actual 0.25 0.30 0.30 0.31Revenue Estimate 106.75 M 115.16 M 105.78 M 112.94 MRevenue Actual 116.71 M 115.00 M 109.33 M 109.07 M

Stock Performance

Shares of Neogen were trading at $44.43 as of July 16. Over the last 52-week period, shares are up 12.0%. 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. Neogen is scheduled to hold the call at 11:00:00 ET and can be accessed here.