Earnings Outlook For Casey's General Stores

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

Wall Street analysts see Casey's General Stores reporting earnings of $0.86 per share on revenue of $2.19 billion. In the same quarter last year, Casey's General Stores reported EPS of $1.67 on revenue of $1.81 billion.

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.

The Wall Street consensus estimate for earnings would represent a 48.5% decrease for the company. Revenue would be have grown 20.79% from the same quarter last year. The company's reported EPS has stacked up against analyst estimates in the past like this:

Stock Performance

For a full 12 months, the return has risen by 36.16%. Given that these returns are generally positive, long-term shareholders are probably relaxed going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.

Do not be surprised to see the stock move on comments made during its conference call. Casey's General Stores is scheduled to hold the call at 08:30:00 ET and can be accessed here.