Wall Street analysts expect Snap (SNAP) to post quarterly earnings of $0.04 per share in its upcoming report, which indicates a year-over-year increase of 33.3%. Revenues are expected to be $1.35 billion, up 12.7% from the year-ago quarter.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 7.1% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
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 it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
That said, let's delve into the average estimates of some Snap metrics that Wall Street analysts commonly model and monitor.
Analysts forecast 'Geographic Revenue- Europe' to reach $231.11 million. The estimate points to a change of +18% from the year-ago quarter.
Based on the collective assessment of analysts, 'Geographic Revenue- Rest of World' should arrive at $321.62 million. The estimate suggests a change of +25.7% year over year.
Analysts predict that the 'Geographic Revenue- North America' will reach $793.09 million. The estimate indicates a change of +6.7% from the prior-year quarter.
The consensus among analysts is that 'Daily Active Users (DAU) - Total Global' will reach 458.96 million. Compared to the present estimate, the company reported 422 million in the same quarter last year.
The consensus estimate for 'Daily Active Users (DAU) - North America' stands at 100.09 million. Compared to the current estimate, the company reported 100 million in the same quarter of the previous year.
Analysts' assessment points toward 'Daily Active Users (DAU) - Europe' reaching 99.09 million. Compared to the present estimate, the company reported 96 million in the same quarter last year.
The collective assessment of analysts points to an estimated 'Daily Active Users (DAU) - Rest of World' of 259.68 million. Compared to the present estimate, the company reported 226 million in the same quarter last year.
The combined assessment of analysts suggests that 'Average revenue per user (ARPU) - North America' will likely reach $7.99. The estimate is in contrast to the year-ago figure of $7.44.
The average prediction of analysts places 'Employees (full-time; excludes part-time, contractors, and temporary personnel)' at 4.99 billion. The estimate is in contrast to the year-ago figure of 4.84 billion.
View all Key Company Metrics for Snap here>>>
Snap shares have witnessed a change of -3.9% in the past month, in contrast to the Zacks S&P 500 composite's -4.3% move. With a Zacks Rank #3 (Hold), SNAP is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Snap Inc. (SNAP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
