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Corsair (CRSR) To Report Q1 Earnings: What's in The Offing?

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Corsair Gaming, Inc. (CRSR - Free Report) is scheduled to report first-quarter 2021 results on May 4, 2021. In the last reported quarter, the company delivered an earnings surprise of 12.8%.

Let's take a look at how things have shaped up in the quarter.

Factors to Note

Corsair’s first quarter results is likely to have benefitted from increased demand for gear upgrades in terms of PC gaming activities and video streaming setups. Also, focus on new product launches bode well. In the previous quarter, the company launched several high-performance products such as SCUF-branded H1 customizable wired gaming headset, wireless mouse, haptic headset and many more. Nonetheless, implementation of new product launches (approximately every week) along with increased supply is likely to have driven first-quarter top line.

Corsair Gaming, Inc. Price and EPS Surprise

 

Corsair Gaming, Inc. Price and EPS Surprise

Corsair Gaming, Inc. price-eps-surprise | Corsair Gaming, Inc. Quote

 

Also, expansion initiatives into new gear and services such as gaming PC peripherals, streaming accessories, pre-built as well as gaming PCs and laptops are encouraging. Notably, the company expects 2021 revenues in the range of $1.8-$1.95 billion.

However, disruptions in supply chain due to the coronavirus pandemic along with a rise in product development and freight costs are likely to have hurt margins in the to-be-reported quarter.

What the Zacks Model Unveils

Our proven model predicts that Corsair is unlikely to beat earnings estimates this quarter. This is because a stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. But that's not the case here.

The company has an Earnings ESP of 0.00%. In fact, the Most Accurate Estimate for the current quarter is in line with the broader Zacks Consensus Estimate of 31 cents per share.

The company carries a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks Poised to Beat Earnings Estimates

Here are some other stocks from the Zacks Consumer Discretionary space that investors may consider, as our model shows that these have the right combination of elements to deliver an earnings beat this time around.

Choice Hotels International, Inc. (CHH - Free Report) has a Zacks Rank #3 and an Earnings ESP of +17.47%. You can see the complete list of today’s Zacks #1 Rank stocks here.

Caesars Entertainment, Inc. (CZR - Free Report) has a Zacks Rank #3 and an Earnings ESP of +1.69%.

Hyatt Hotels Corporation (H - Free Report) has a Zacks Rank #3 and an Earnings ESP of +7.29%.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

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