Samsara Set to Report Q2 Earnings: What's in Store for the Stock?

Samsara Inc. IOT is scheduled to report second-quarter fiscal 2026 results on Sept. 4.

For the second quarter of fiscal 2026, management expects non-GAAP earnings per share between 6 cents and 7 cents. The consensus mark is pegged at 7 cents per share, indicating an increase of 40% from the prior-year quarter’s reported figure. The estimate has remained unchanged over the past 60 days.

Samsara’s earnings beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, delivering an average earnings surprise of 153.8%.

For the second quarter of fiscal 2026, Samsara expects revenues between $371 million and $373 million. The Zacks Consensus Estimate is pegged at $372 million, suggesting growth of approximately 24% from the year-ago quarter’s reported figure.

Factors to Influence Samsara’s Q2 Results

Samsara’s fiscal second-quarter performance is expected to have benefited from scaling of its AI-powered connected platform, multiproduct adoption, OEM partnerships, strong ARR expansion, and margin leverage.

AI continues to be a key growth catalyst for IOT as a rising number of construction, logistics, transportation and public sector entities are adopting AI-powered solutions for safety, maintenance, and workflow management to optimize operations and fleet management.

Samsara’s AI-based solutions have been reducing accidents, improving maintenance, and extending asset lifespan for its customers and this has been a key growth driver in the first quarter of fiscal 2026, when Samsara crossed the $1.54 billion in ARR, up 31% year over year. This trend is likely to continue in the upcoming quarterly results.

As Samsara collaborates with leading OEMs of the world and uses worker training & gamification in its offerings, this will benefit the company in enhancing adoption and retention in the to be reported quarter. These factors are likely to have improved Samsara’s ACV in the to-be-reported quarter.

However, tariff-driven uncertainty, elongated enterprise sales cycles, regional competition in Europe, and reliance on large accounts are expected to have remained headwinds for the company in the to-be-reported quarter.

Earnings Whispers for IOT Stock

Our proven model does not conclusively predict an earnings beat for IOT this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.

Though IOT carries a Zacks Rank #3 at present, it has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks With the Favorable Combination

Here are some stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

Micron Technology MU has an Earnings ESP of +1.37% and sports a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Micron Technology shares have surged 41.5% year to date. Micron Technology is set to report its fourth-quarter fiscal 2025 results on Sept. 23.

Broadcom AVGO currently has an Earnings ESP of +1.16% and a Zacks Rank #2 at present.

Broadcom shares have gained 28.3% year to date. Broadcom is slated to report its third-quarter fiscal 2025 results on Sept. 4.

American Eagle Outfitters AEO has an Earnings ESP of +7.69% and a Zacks Rank #3 at present.

American Eagle Outfitters shares have lost 22.4% year to date. American Eagle Outfitters is slated to report its second-quarter fiscal 2025 results on Sept. 3.

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This article originally published on Zacks Investment Research (zacks.com).

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