We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Splunk (SPLK) to Report Q1 Earnings: What's in the Cards?
Read MoreHide Full Article
Splunk is set to report first-quarter fiscal 2022 results on Jun 2.
For the quarter, the Zacks Consensus Estimate for loss has remained steady at 72 cents per share over the past 30 days. The company had reported loss of 56 cents per share in the year-ago quarter.
Splunk expects first-quarter revenues in the range of $480 million to $500 million. The consensus mark for revenues currently stands at $492.9 million, suggesting growth of 13.6% from the year-ago quarter’s reported figure.
Notably, the company’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters while missing the same in the other two, the average surprise being 882.2%.
Let’s see how things have shaped up for this announcement.
Factors to Consider
Splunk’s portfolio strength has not only helped it win new customers, but has also expanded its existing customer base. Solid demand for the company’s enterprise, security and cloud solutions is expected to have aided the top line in the to-be-reported quarter.
Additionally, Splunk’s expanding partner base, comprising the likes of Amazon Web Services (AWS), Accenture (ACN - Free Report) , and Cisco (CSCO - Free Report) , has been a key catalyst. Integration of its products in partner solutions is expected to have enhanced the company’s exposure, particularly among enterprise customers.
Notably, cloud represented 51% of total software bookings in the previous quarter. Cloud services’ revenues surged 72.4% year over year to $171.4 million and accounted for 23% of revenues.
The momentum is expected to have continued in the to-be-reported quarter on the back of increased utilization of cloud-based services and solutions.
However, increasing cloud revenues in the product mix are expected to have kept margins under pressure in the to-be-reported quarter.
What Our Model Says
According to the Zacks model, the combination of a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Splunk has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
A Stock to Consider
Here is a company you may want to consider, as our model shows it has the right combination of elements to post an earnings beat in their upcoming releases:
Zacks' Top Picks to Cash in on Artificial Intelligence
In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.
Image: Bigstock
Splunk (SPLK) to Report Q1 Earnings: What's in the Cards?
Splunk is set to report first-quarter fiscal 2022 results on Jun 2.
For the quarter, the Zacks Consensus Estimate for loss has remained steady at 72 cents per share over the past 30 days. The company had reported loss of 56 cents per share in the year-ago quarter.
Splunk expects first-quarter revenues in the range of $480 million to $500 million. The consensus mark for revenues currently stands at $492.9 million, suggesting growth of 13.6% from the year-ago quarter’s reported figure.
Notably, the company’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters while missing the same in the other two, the average surprise being 882.2%.
Splunk Inc. Price and EPS Surprise
Splunk Inc. price-eps-surprise | Splunk Inc. Quote
Let’s see how things have shaped up for this announcement.
Factors to Consider
Splunk’s portfolio strength has not only helped it win new customers, but has also expanded its existing customer base. Solid demand for the company’s enterprise, security and cloud solutions is expected to have aided the top line in the to-be-reported quarter.
Additionally, Splunk’s expanding partner base, comprising the likes of Amazon Web Services (AWS), Accenture (ACN - Free Report) , and Cisco (CSCO - Free Report) , has been a key catalyst. Integration of its products in partner solutions is expected to have enhanced the company’s exposure, particularly among enterprise customers.
Notably, cloud represented 51% of total software bookings in the previous quarter. Cloud services’ revenues surged 72.4% year over year to $171.4 million and accounted for 23% of revenues.
The momentum is expected to have continued in the to-be-reported quarter on the back of increased utilization of cloud-based services and solutions.
However, increasing cloud revenues in the product mix are expected to have kept margins under pressure in the to-be-reported quarter.
What Our Model Says
According to the Zacks model, the combination of a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Splunk has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
A Stock to Consider
Here is a company you may want to consider, as our model shows it has the right combination of elements to post an earnings beat in their upcoming releases:
Zoom (ZM - Free Report) has an Earnings ESP of +0.93% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Zacks' Top Picks to Cash in on Artificial Intelligence
In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.
See 3 Artificial Intelligence Stocks With Extreme Upside Potential>>