The upcoming report from Elastic (ESTC) is expected to reveal quarterly earnings of $0.58 per share, indicating a decline of 1.7% compared to the year-ago period. Analysts forecast revenues of $418.13 million, representing an increase of 14.4% year over year.
Over the last 30 days, there has been a downward revision of 37.5% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Elastic metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts predict that the 'Revenue- Services' will reach $26.03 million. The estimate indicates a change of +6% from the prior-year quarter.
The consensus among analysts is that 'Revenue- Subscription' will reach $385.76 million. The estimate indicates a year-over-year change of +13.2%.
Analysts forecast 'Revenue- Subscription- Elastic Cloud' to reach $201.75 million. The estimate points to a change of +19.5% from the year-ago quarter.
Based on the collective assessment of analysts, 'Revenue- Subscription- Other subscription' should arrive at $189.54 million. The estimate indicates a change of +10.2% from the prior-year quarter.
View all Key Company Metrics for Elastic here>>>
Over the past month, Elastic shares have recorded returns of +11.9% versus the Zacks S&P 500 composite's +1.5% change. Based on its Zacks Rank #3 (Hold), ESTC will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Elastic N.V. (ESTC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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