PennantPark Floating Rate's Earnings Outlook

On Wednesday, May 05, PennantPark Floating Rate PFLT will release its latest earnings report. Check out Benzinga's preview to understand the implications.

Net Income, Earnings, 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

Wall Street analysts see PennantPark Floating Rate reporting earnings of $0.27 per share on revenue of $20.36 million. PennantPark Floating Rate EPS in the same period a year ago totaled $0.3. Revenue was $26.33 million.

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

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to match the consensus estimate, earnings would be down 10.0%. Sales would be down 22.66% from the same quarter last year. The company's reported EPS has stacked up against analyst estimates in the past like this:

Stock Performance

Shares of PennantPark Floating Rate were trading at $12.61 as of May 03. Over the last 52-week period, shares are up 91.64%. Given that these returns are generally positive, long-term shareholders should be content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. PennantPark Floating Rate is scheduled to hold the call at 09:00:00 ET and can be accessed here.