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ContextLogic (WISH) to Report Q3 Earnings: What's in Store?

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ContextLogic Inc. is scheduled to report third-quarter 2021 results on Nov 10.

For the third quarter, the Zacks Consensus Estimate for revenues is pegged at $399.2 million.

Further, the Zacks Consensus Estimate for third-quarter loss is pegged at 15 cents per share, which has been unchanged over the past 30 days.

Key Factors to Note

Strength in ProductBoost is expected to have continued benefiting ContextLogic’s performance in the to-be-reported quarter.

Increasing advertisement spending by merchants might have driven growth in third-quarter ProductBoost revenues.

ContextLogic Inc. Price and EPS Surprise

ContextLogic Inc. Price and EPS Surprise

ContextLogic Inc. price-eps-surprise | ContextLogic Inc. Quote

Further, the company’s robust Logistics business is anticipated to have contributed well to overall top-line growth.

Improvement in merchant monetization and the growing demand for end-to-end shipping solutions are likely to have aided Logistics revenues in the quarter under review.

ContextLogic’s growing efforts to improve logistics offerings, optimize average Time to Door, bolster shipping efficiencies and encourage merchants for forward-deploying inventory might have remained tailwinds.

Also, partnerships with local carriers are expected to have continued strengthening its logistics capabilities in the quarter under discussion.

Further, the growing focus on providing an enhanced experience to users and merchants is likely to have remained a positive factor in the to-be-reported quarter.

Yet, increasing costs related to higher volume of logistics services are expected to have remained a concern in the third quarter.

Further, a decline in overall mobile usage due to ease in stay-indoor restrictions is likely to have continued affecting growth in total monthly active users.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for ContextLogic 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. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

ContextLogichas an Earnings ESP of 0.00% and a Zacks Rank #3, at present.

Stocks to Consider

Here are some stocks that you may consider, as our model shows that these have the right combination of elements to beat on earnings this season.

BellRing Brands (BRBR - Free Report) has an Earnings ESP of +14.11% and a Zacks Rank of 2, at present.

Central Garden & Pet (CENT - Free Report) has an Earnings ESP of +22.22% and a Zacks Rank of 2, at present.

Diana Shipping (DSX - Free Report) has an Earnings ESP of +5.88% and a Zacks Rank of 2, at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

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