Inovalon Holdings INOV announces its next round of earnings this Wednesday, July 28. Here is Benzinga's look at Inovalon Holdings's Q2 earnings report.
What Are Earnings, Net Income, And Earnings Per Share?
Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.
Earnings And Revenue
Inovalon Holdings EPS will likely be near $0.17 while revenue will be around $184.87 million, according to analysts. Inovalon Holdings EPS in the same period a year ago totaled $0.15. Sales were $162.22 million.
Why Analyst Estimates And Earnings Surprises Are Important
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 analyst consensus estimate would represent a 13.33% increase in the company's earnings. Revenue would be up 13.97% from the year-ago period. Here is how the company's reported EPS has compared to analyst estimates in the past:
| Quarter | Q1 2021 | Q4 2020 | Q3 2020 | Q2 2020 |
|---|---|---|---|---|
| EPS Estimate | 0.15 | 0.19 | 0.16 | 0.11 |
| EPS Actual | 0.17 | 0.21 | 0.16 | 0.15 |
| Revenue Estimate | 174.09 M | 187.44 M | 179.71 M | 159.67 M |
| Revenue Actual | 177.18 M | 189.75 M | 161.38 M | 162.22 M |
Want Real-Time Earnings Calendar Updates?
Benzinga consistently updates its earnings calendars to stay up-to-date with the latest company earnings reports. Check out the full earnings calendar list updated in real-time by following this link.
Stock Performance
For a full 12 months, the return has risen by 62.38%. 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. Inovalon Holdings is scheduled to hold the call at 17:00:00 ET and can be accessed here.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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