What's Next: Smartsheet's Earnings Preview

Smartsheet SMAR will release its quarterly earnings report on Thursday, 2024-12-05. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Smartsheet to report an earnings per share (EPS) of $0.30.

Anticipation surrounds Smartsheet'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.

Past Earnings Performance

The company's EPS beat by $0.15 in the last quarter, leading to a 5.92% increase in the share price on the following day.

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

Market Performance of Smartsheet's Stock

Shares of Smartsheet were trading at $56.03 as of December 03. Over the last 52-week period, shares are up 24.83%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analyst Observations about Smartsheet

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Smartsheet.

Analysts have given Smartsheet a total of 23 ratings, with the consensus rating being Neutral. The average one-year price target is $56.93, indicating a potential 1.61% upside.

Analyzing Ratings Among Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of CCC Intelligent Solutions, MARA Holdings and Pegasystems, three key industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for CCC Intelligent Solutions, with an average 1-year price target of $13.75, suggesting a potential 75.46% downside.
• The prevailing sentiment among analysts is an Buy trajectory for MARA Holdings, with an average 1-year price target of $25.88, implying a potential 53.81% downside.
• Pegasystems received a Buy consensus from analysts, with an average 1-year price target of $91.8, implying a potential 63.84% upside.

Peer Metrics Summary

In the peer analysis summary, key metrics for CCC Intelligent Solutions, MARA Holdings and Pegasystems are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Smartsheet ranks first in revenue growth among its peers. It has the highest gross profit margin. However, it has the lowest return on equity.

All You Need to Know About Smartsheet

Smartsheet is a provider of collaborative work management software delivered via a cloud-based, software-as-a-service model. The firm's solution offers scalable, dynamic tools to improve the efficiency of project and process management across countless use cases. Smartsheet's offering supports workflow management across teams, provides real-time visibility into projects, and reporting and automation capabilities. The firm generates revenue via software subscriptions on a per-user basis, and incremental charges for added platform capabilities.

Smartsheet: A Financial Overview

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Smartsheet's revenue growth over a period of 3 months has been noteworthy. As of 31 July, 2024, the company achieved a revenue growth rate of approximately 17.33%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Smartsheet's net margin is impressive, surpassing industry averages. With a net margin of 2.84%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Smartsheet's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.2% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.59%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.06.

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

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