Benzinga | Jul 21, 2021 10:53AM EDT

Pool's Earnings Outlook

On Thursday, July 22, Pool (NASDAQ:POOL) will release its latest earnings report. Check out Benzinga's preview to understand the implications.

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

Analysts covering Pool modeled for quarterly EPS of $5.48 on revenue of $1.73 billion. In the same quarter last year, Pool posted EPS of $3.87 on sales of $1.28 billion.

Why Analyst Estimates And Earnings Surprises Are Important

Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.

If the company were to match the consensus estimate, earnings would be up 41.6%. Revenue would be up 35.05% on a year-over-year basis. Pool's reported EPS has stacked up against analyst estimates in the past like this: Quarter Q1 2021 Q4 2020 Q3 2020 Q2 2020EPS Estimate 1.15 0.76 2.18 3.05EPS Actual 2.42 1.45 2.92 3.87Revenue Estimate 823.89 M 700.74 M 1.00 B 1.14 BRevenue Actual 1.06 B 839.26 M 1.14 B 1.28 B

Want Real-Time Earnings Calendar Updates?

Benzinga consistently updates its earnings calendars to stay up-to-date with the latest company earnings reports. Check out the full earnings calendar list updated in real-time by following this link.

Stock Performance

Shares of Pool were trading at $452.51 as of July 20. Over the last 52-week period, shares are up 51.23%. Given that these returns are generally positive, long-term shareholders can be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Pool is scheduled to hold the call at 11:00:00 ET and can be accessed here.