Compass Inc recently announced its quarterly earnings report, revealing a loss of $0.36 per share, which was below the Zacks Consensus Estimate of a loss of $0.31 per share. However, compared to the loss of $0.43 per share reported a year ago, there was some improvement in the bottom line despite the shortfall.
The quarterly report showed an earnings surprise of -16.13%, indicating that Compass fell short of market expectations. This comes after surpassing estimates in the previous quarter. Additionally, Compass, Inc. reported revenues of $1.11 billion for the quarter, missing the Zacks Consensus Estimate by 8.51%. Although revenues declined compared to the previous year, the company has managed to beat consensus revenue estimates in two out of the last four quarters.
Despite the recent earnings miss, shares of Compass Inc have gained approximately 53.7% since the beginning of the year, outperforming the broader market. Looking ahead, investors are curious about the company’s future trajectory.
The company’s earnings outlook plays a crucial role in shaping investor sentiment. Tracking earnings estimate revisions can provide valuable insights into future stock movements. Currently, the estimate revisions trend for Compass, Inc. is favorable, leading to a Zacks Rank 2 (Buy) designation. This suggests that the stock is expected to outperform the market in the near future.
Analysts are closely monitoring estimates for the upcoming quarters and the current fiscal year. The consensus EPS estimate for the next quarter is -$0.27 on $999.81 million in revenues, while for the current fiscal year, it stands at -$0.46 on $5.05 billion in revenues. It remains to be seen how these estimates evolve in the coming days.
Furthermore, the industry landscape can significantly influence the company’s performance. In the case of Compass, Inc., the Internet – Software industry is currently ranked in the top 31% of all Zacks industries. Research indicates that industries ranked in the top 50% tend to outperform those in the bottom 50%.
