Clear Secure, Inc. YOU is expected to release its second-quarter 2024 results on Aug 6, before market open.
The company's earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 77.6%. In the last reported quarter, its earnings of 28 cents per share surpassed the Zacks Consensus Estimate of 17 cents by 64.7%.
Let’s see how things have shaped up for Clear Secure this earnings season.
Factors to Note
Clear Secure’s second-quarter performance is likely to have been aided by increased booking level, driven by new member enrollments, effective pricing and strong retention of existing members. The Zacks Consensus Estimate for the company’s booking is pegged at $195.6 million, which indicates an increase of 11.7% from the year-ago reported number.
An increase in total Cumulative Enrollments, driven by a rise in CLEAR Verified and CLEAR plus enrollments, is expected to have driven the company’s revenues. Also, escalating CLEAR Plus verifications, combined with higher contributions from CLEAR Verified uses, are likely to have increased the number of total cumulative platform uses.
An increase in active CLEAR plus members, supported by new members added through new and existing airports as well as partner and organic channels, is likely to have been key catalysts to YOU’s growth.
The Zacks Consensus Estimate for revenues is pegged at $183.8 million, indicating an increase of 22.6% from the year-ago quarter's reported number. The consensus estimate for earnings of 26 cents per share indicates an increase of 73.3% from the year-earlier level.
However, increasing costs of revenue share fees, due to rising fixed airport fees and high sales and marketing expenses, are likely to have impacted the company’s margin performance.
Clear Secure has considerable exposure to overseas markets. Given the company’s substantial international operations, foreign currency headwinds are likely to have marred its profitability.
CLEAR Secure, Inc. Price and EPS Surprise 
CLEAR Secure, Inc. price-eps-surprise | CLEAR Secure, Inc. Quote
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for YOU this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.
Earnings ESP: YOU has an Earnings ESP of 0.00% as both the Most Accurate Estimate and Zacks Consensus Estimate are pegged at 26 cents per share. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: YOU presently carries a Zacks Rank of 3.
Stocks to Consider
Here are some companies within the broader Industrial Products sector, which, according to our model, have the right combination of elements to beat on earnings in this reporting cycle.
Atkore Inc. ATKR has an Earnings ESP of + 0.62% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is scheduled to release second-quarter results on Aug 6. Atkore’s earnings have surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 15.4%.
Emerson Electric Co. EMR has an Earnings ESP of +0.14% and a Zacks Rank of 3. The company is slated to release fiscal third-quarter (ended June 2024) results on Aug 7.
Emerson’s earnings have surpassed the Zacks Consensus Estimate in three of the trailing four quarters while missing the mark in one, the average surprise being 10.7%.
Deere & Company DE has an Earnings ESP of +0.18% and a Zacks Rank of 3 at present. It is slated to release third-quarter fiscal 2024 (ended July 2024) results on Aug 15.
Deere’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 16%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
