Exploring Manhattan Associates's Earnings Expectations

Manhattan Associates MANH is gearing up to announce its quarterly earnings on Tuesday, 2024-10-22. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Manhattan Associates will report an earnings per share (EPS) of $1.06.

The announcement from Manhattan Associates is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Earnings History Snapshot

In the previous earnings release, the company beat EPS by $0.22, leading to a 10.54% increase in the share price the following trading session.

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

Market Performance of Manhattan Associates's Stock

Shares of Manhattan Associates were trading at $298.28 as of October 18. Over the last 52-week period, shares are up 55.24%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on Manhattan Associates

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Manhattan Associates.

Analysts have given Manhattan Associates a total of 5 ratings, with the consensus rating being Buy. The average one-year price target is $286.4, indicating a potential 3.98% downside.

Peer Ratings Comparison

The below comparison of the analyst ratings and average 1-year price targets of Dynatrace, Guidewire Software and Aspen Technology, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Dynatrace is maintaining an Outperform status according to analysts, with an average 1-year price target of $56.14, indicating a potential 81.18% downside.
• Analysts currently favor an Outperform trajectory for Guidewire Software, with an average 1-year price target of $185.87, suggesting a potential 37.69% downside.
• Aspen Technology received a Buy consensus from analysts, with an average 1-year price target of $246.75, implying a potential 17.28% downside.

Overview of Peer Analysis

The peer analysis summary presents essential metrics for Dynatrace, Guidewire Software and Aspen Technology, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Manhattan Associates ranks at the top for Revenue Growth and Gross Profit among its peers. However, it ranks at the bottom for Return on Equity.

About Manhattan Associates

Manhattan Associates provides software that helps users manage their supply chains, inventory, and omnichannel operations. Customers are generally retailers, wholesalers, manufacturers, and logistics providers. The company was founded in 1990 and serves more than 1,200 customers around the world.

Manhattan Associates's Economic Impact: An Analysis

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Manhattan Associates's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 14.85%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 19.89%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Manhattan Associates's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 21.98% 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 7.88%, the company showcases effective utilization of assets.

Debt Management: Manhattan Associates's debt-to-equity ratio is below the industry average. With a ratio of 0.21, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

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

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