Woodward's Earnings Outlook

Woodward WWD announces its next round of earnings this Monday, May 03. Here is Benzinga's everything-that-matters guide for this Monday's Q2 earnings announcement.

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

Woodward EPS is expected to be around $0.8, according to sell-side analysts. Sales will likely be near $572.33 million. Woodward earnings in the same period a year ago was $1.61 per share. Quarterly sales came in at $720.22 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

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.

The analyst consensus estimate would represent a 50.31% decrease in the company's earnings. Revenue would be down 20.53% from the year-ago period. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Stock Performance

Shares of Woodward were trading at $125.23 as of April 29. Over the last 52-week period, shares are up 122.26%. Given that these returns are generally positive, long-term shareholders are probably content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Woodward is scheduled to hold the call at 16:30:00 ET and can be accessed here.