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.
The company’s second-quarter revenues are expected to be between $82.5 million and $97.5 million. The Zacks Consensus Estimate is pegged at $94.19 million, suggesting growth of 40.68% from the year-ago quarter’s levels.
The consensus mark is pegged at a loss of 23 cents per share, remaining unchanged in the past 30 days. The company reported a loss of 21 cents per share in the year-ago quarter.
Let’s see how things have shaped up for the upcoming announcement.
Stem’s second-quarter results are expected to reflect benefits from strength in its differentiated solutions and services. It anticipates end market customer demand to remain strong and gross margins to increase in both pipeline and backlog.
Solid momentum in Solar and Storage services revenues is expected to have aided the company’s top line in the to-be-reported quarter. Solar business has been benefiting from an improvement in supply chain, labor shortages and regulatory actions.
Rising adoption of Athena platform due to its optimization capabilities has been noteworthy. Stem’s recent project with Sysco integrates its Athena software into their Riverside EV Hub, reflecting continued momentum in EV charging space.
Stem continues to leverage on AI-assisted coding and innovation in Athena to increase productivity. Its AI-driven software makes Athena more accurate with real-world assets, driving better results for customers. These factors are likely to have influenced STEM’s top-line performance.
However, the company incurred significant losses in the past and estimates to record net losses throughout 2023. It projects adjusted EBITDA for 2023 to be between negative $5 million and negative $35 million.
Challenging macroeconomic and geopolitical environments, and stiff competition are expected to have hurt top-line growth. Supply-chain constraints in its FTM segment are expected to remain headwinds.
What Our Model Says
Our proven model does not conclusively predict earnings beat for STEM this time around. Per the Zacks model, 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.
STEM currently 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.
Stocks to Consider
Here we present a few stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases.
Perion Network is scheduled to release second-quarter 2023 results on Aug 2. Shares of PERI have gained 44.6% in the year-to-date period compared with the Zacks Internet - Content industry’s growth of 39.6%.
Sabre (SABR - Free Report) has an Earnings ESP of +13.04% and a Zacks Rank #3 at present.
Sabre is slated to report second-quarter 2023 numbers on Aug 3. Shares of SABR have lost 33.6% in the year-to-date period against the Zacks Internet – Software and Services industry’s growth of 25.7%.
DigitalOcean (DOCN - Free Report) has an Earnings ESP of +4.03% and a Zacks Rank #3 at present.
DigitalOcean is set to post second-quarter 2023 results on Aug 3. DOCN shares have surged 94.4% in the year-to-date period compared with the Zacks Internet - Software industry’s growth of 60.9%.
Image: Bigstock
STEM Gears Up to Report Q2 Earnings: Here's What to Expect
Stem (STEM - Free Report) is set to report second-quarter 2023 results on Aug 3.
The company’s second-quarter revenues are expected to be between $82.5 million and $97.5 million. The Zacks Consensus Estimate is pegged at $94.19 million, suggesting growth of 40.68% from the year-ago quarter’s levels.
The consensus mark is pegged at a loss of 23 cents per share, remaining unchanged in the past 30 days. The company reported a loss of 21 cents per share in the year-ago quarter.
Let’s see how things have shaped up for the upcoming announcement.
Stem, Inc. Price and EPS Surprise
Stem, Inc. price-eps-surprise | Stem, Inc. Quote
Factors to Note
Stem’s second-quarter results are expected to reflect benefits from strength in its differentiated solutions and services. It anticipates end market customer demand to remain strong and gross margins to increase in both pipeline and backlog.
Solid momentum in Solar and Storage services revenues is expected to have aided the company’s top line in the to-be-reported quarter. Solar business has been benefiting from an improvement in supply chain, labor shortages and regulatory actions.
Rising adoption of Athena platform due to its optimization capabilities has been noteworthy. Stem’s recent project with Sysco integrates its Athena software into their Riverside EV Hub, reflecting continued momentum in EV charging space.
Stem continues to leverage on AI-assisted coding and innovation in Athena to increase productivity. Its AI-driven software makes Athena more accurate with real-world assets, driving better results for customers. These factors are likely to have influenced STEM’s top-line performance.
However, the company incurred significant losses in the past and estimates to record net losses throughout 2023. It projects adjusted EBITDA for 2023 to be between negative $5 million and negative $35 million.
Challenging macroeconomic and geopolitical environments, and stiff competition are expected to have hurt top-line growth. Supply-chain constraints in its FTM segment are expected to remain headwinds.
What Our Model Says
Our proven model does not conclusively predict earnings beat for STEM this time around. Per the Zacks model, 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.
STEM currently 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.
Stocks to Consider
Here we present a few stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases.
Perion Network (PERI - Free Report) currently has an Earnings ESP of +5.14% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Perion Network is scheduled to release second-quarter 2023 results on Aug 2. Shares of PERI have gained 44.6% in the year-to-date period compared with the Zacks Internet - Content industry’s growth of 39.6%.
Sabre (SABR - Free Report) has an Earnings ESP of +13.04% and a Zacks Rank #3 at present.
Sabre is slated to report second-quarter 2023 numbers on Aug 3. Shares of SABR have lost 33.6% in the year-to-date period against the Zacks Internet – Software and Services industry’s growth of 25.7%.
DigitalOcean (DOCN - Free Report) has an Earnings ESP of +4.03% and a Zacks Rank #3 at present.
DigitalOcean is set to post second-quarter 2023 results on Aug 3. DOCN shares have surged 94.4% in the year-to-date period compared with the Zacks Internet - Software industry’s growth of 60.9%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.