Preview: PagerDuty's Earnings

PagerDuty PD is set to give its latest quarterly earnings report on Tuesday, 2024-11-26. Here's what investors need to know before the announcement.

Analysts estimate that PagerDuty will report an earnings per share (EPS) of $0.17.

Anticipation surrounds PagerDuty's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Historical Earnings Performance

During the last quarter, the company reported an EPS beat by $0.04, leading to a 1.15% drop in the share price on the subsequent day.

Here's a look at PagerDuty's past performance and the resulting price change:

Market Performance of PagerDuty's Stock

Shares of PagerDuty were trading at $20.67 as of November 22. Over the last 52-week period, shares are down 4.33%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Analyst Observations about PagerDuty

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on PagerDuty.

The consensus rating for PagerDuty is Neutral, based on 11 analyst ratings. With an average one-year price target of $21.0, there's a potential 1.6% upside.

Comparing Ratings with Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of LiveRamp Holdings, Iris Energy and Bitdeer Technologies, three key industry players, offering insights into their relative performance expectations and market positioning.

• The consensus outlook from analysts is an Buy trajectory for LiveRamp Holdings, with an average 1-year price target of $39.5, indicating a potential 91.1% upside.
• The consensus outlook from analysts is an Buy trajectory for Iris Energy, with an average 1-year price target of $16.23, indicating a potential 21.48% downside.
• Analysts currently favor an Buy trajectory for Bitdeer Technologies, with an average 1-year price target of $14.0, suggesting a potential 32.27% downside.

Snapshot: Peer Analysis

The peer analysis summary provides a snapshot of key metrics for LiveRamp Holdings, Iris Energy and Bitdeer Technologies, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

PagerDuty ranks in the middle among its peers for consensus rating. It is at the bottom for revenue growth and gross profit, but at the top for return on equity.

All You Need to Know About PagerDuty

PagerDuty Inc is a digital operations management platform that manages urgent and mission-critical work for a modern, digital business. Its platform harnesses digital signals from virtually any software-enabled system or device and combines it with human response data to take the right actions in real-time. The product offerings of the company include PagerDuty Incident Management, DevOps, AIOPs, Process Automation, and Customer Service Operations.

PagerDuty: Delving into Financials

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Over the 3 months period, PagerDuty showcased positive performance, achieving a revenue growth rate of 7.73% as of 31 July, 2024. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of -11.42%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): PagerDuty's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -7.82%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): PagerDuty's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -1.44%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.8, caution is advised due to increased financial risk.

To track all earnings releases for PagerDuty visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.