Analysts on Wall Street project that Peloton (PTON) will announce quarterly loss of $0.20 per share in its forthcoming report, representing an increase of 63% year over year. Revenues are projected to reach $655.23 million, declining 11.9% from the same quarter last year.
The current level reflects a downward revision of 1.3% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Ahead of a company’s earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While it’s common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts’ forecasts for key metrics can yield valuable insights.
That said, let’s delve into the average estimates of some Peloton metrics that Wall Street analysts commonly model and monitor.
The collective assessment of analysts points to an estimated ‘Revenues- Subscription’ of $417.01 million. The estimate points to a change of -1.8% from the year-ago quarter.
It is projected by analysts that the ‘Revenues- Connected Fitness Products’ will reach $239.43 million. The estimate points to a change of -25% from the year-ago quarter.
The combined assessment of analysts suggests that ‘Ending Connected Fitness Subscriptions’ will likely reach 2,854. The estimate is in contrast to the year-ago figure of 3,004.
The average prediction of analysts places ‘Gross profit- Subscription’ at $280.93 million. The estimate is in contrast to the year-ago figure of $285.50 million.
Analysts forecast ‘Gross profit- Connected Fitness Products’ to reach $23.96 million. Compared to the present estimate, the company reported $13.80 million in the same quarter last year.
View all Key Company Metrics for Peloton here>>>
Over the past month, Peloton shares have recorded returns of -17.9% versus the Zacks S&P 500 composite’s +1% change. Based on its Zacks Rank #3 (Hold), PTON will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here >>>>
This article was originally published here.
