Benzinga | Feb 10, 2021 10:44AM EST

Earnings Outlook For Patrick Industries

Patrick Industries (NASDAQ:PATK) releases its next round of earnings this Thursday, February 11. Here is Benzinga's essential guide to Patrick Industries's Q4 earnings report.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Based on management's projections, Patrick Industries analysts model for earnings of $1.44 per share on sales of $699.42 million. Patrick Industries earnings in the same period a year ago was $0.67 per share. Quarterly sales came in at $549.46 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.

The analyst consensus estimate would represent a 114.93% increase in the company's earnings. Revenue would be up 27.29% on a year-over-year basis. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 1.28 -0.11 0.72 0.74EPS Actual 1.62 0.03 0.91 0.67Revenue Estimate 671.76 M 407.87 M 580.78 M 535.56 MRevenue Actual 700.71 M 424.05 M 589.23 M 549.46 M

Stock Performance

Shares of Patrick Industries were trading at $79.03 as of February 09. Over the last 52-week period, shares are up 26.96%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Patrick Industries is scheduled to hold the call at 10:00:00 ET and can be accessed here.