Benzinga | May 7, 2021 10:08AM EDT

A Preview Of Fortuna Silver Mines's Earnings

On Monday, May 10, Fortuna Silver Mines (NYSE:FSM) will release its latest earnings report. Here is Benzinga's outlook for the company.

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

Fortuna Silver Mines earnings will be near $0.1 per share on sales of $67.00 million, according to analysts. Fortuna Silver Mines reported a per-share loss of $0.01 when it published results during the same quarter last year. Sales in that period totaled $47.50 million.

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

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to post earnings in line with the consensus estimate when it reports Monday, EPS would be up 1100.0%. Sales would be have grown 41.05% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past: Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020EPS Estimate 0.10 0.11 0.10 0.11EPS Actual 0.12 0.09 -0.03 -0.01Revenue Estimate 67.00 M 67.00 M 67.00 M 67.00 MRevenue Actual 103.50 M 83.40 M 44.48 M 47.50 M

Stock Performance

Over the last 52-week period, shares are up 100.62%. Given that these returns are generally positive, long-term shareholders can relax going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.

Do not be surprised to see the stock move on comments made during its conference call. Fortuna Silver Mines is scheduled to hold the call at 12:00:00 ET and can be accessed here.