Wall Street analysts expect Clearwater Analytics (CWAN) to post quarterly earnings of $0.16 per share in its upcoming report, which indicates a year-over-year increase of 23.1%. Revenues are expected to be $222.99 million, up 75.8% from the year-ago quarter.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
That said, let's delve into the average estimates of some Clearwater Analytics metrics that Wall Street analysts commonly model and monitor.
The combined assessment of analysts suggests that 'Number of Clients' will likely reach 2,602 . Compared to the current estimate, the company reported 1,400 in the same quarter of the previous year.
Analysts' assessment points toward 'Net revenue retention rate' reaching 109.7%. Compared to the current estimate, the company reported 114.0% in the same quarter of the previous year.
The average prediction of analysts places 'Total ARR' at $865.66 million. The estimate is in contrast to the year-ago figure of $493.90 million.
View all Key Company Metrics for Clearwater Analytics here>>>Clearwater Analytics shares have witnessed a change of +1.1% in the past month, in contrast to the Zacks S&P 500 composite's +10.3% move. With a Zacks Rank #3 (Hold), CWAN 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 >>>> .
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Clearwater Analytics Holdings, Inc. (CWAN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
