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.
Is a Beat Likely for Qualys (QLYS) This Earnings Season?
Read MoreHide Full Article
Qualys, Inc. (QLYS - Free Report) is likely to beat expectations when it reports fourth-quarter 2023 results after market close on Feb 12.
For the quarter, the company anticipates revenues in the band of $144.1-$145.1 million. The Zacks Consensus Estimate for revenues is pegged at $144.7 million, implying growth of 10.6% from the figure reported in the year-ago quarter.
Non-GAAP earnings per share are envisioned in the band of $1.18-$1.28. The Zacks Consensus Estimate is pegged at $1.25 per share, indicating an increase of 23.8% from the figure reported in the year-ago quarter.
The company’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 20.7%.
Let’s see how things are shaping up for the upcoming announcement.
Qualys offers cloud security and compliance solutions that enable organizations to identify security risks to their information technology infrastructures. This helps protect their IT systems and applications from cyberattacks.
The company’s fourth-quarter performance is likely to have benefited from the surging demand for security and networking products amid the growing hybrid working trend. Accelerated digital transformations by organizations are also expected to have fueled the demand for QLYS’ cloud-based security solutions.
Qualys' recurring subscription-based business model has been providing relative stability to its top line amid post-pandemic disruptions. The company expects to drive durable top-line growth and leverage its highly scalable model to maintain strong cash flow and industry-leading profitability.
Qualys' ability to attract new customers and retain existing ones underscores its strong market positioning and value proposition. For the last few quarters, Qualys has been able to close a significant number of six-figure deals. We expect the trend to have continued during the to-be-reported quarter, thereby boosting its total revenues.
However, enterprises are postponing their large IT spending plans due to a weakening global economy amid ongoing macroeconomic and geopolitical issues. This may have hurt Qualys’ overall financial performance in the fourth quarter.
Earnings Whispers
Our proven model predicts an earnings beat for Qualys this earnings season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.27 per share) and the Zacks Consensus Estimate ($1.25 per share), is +2.01%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: Qualys carries a Zacks Rank #3.
Other Stocks With the Favorable Combination
Per our model, Twilio (TWLO - Free Report) , Vertiv (VRT - Free Report) and Akamai Technologies (AKAM - Free Report) also have the right combination of elements to post an earnings beat in their upcoming releases.
Twilio carries a Zacks Rank #2 and has an Earnings ESP of +31.37%. The company is scheduled to report fourth-quarter 2023 results on Feb 14. Its earnings beat the Zacks Consensus Estimate in the preceding four quarters, with the average surprise being 157.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Twilio’s fourth-quarter earnings stands at 57 cents per share, indicating a year-over-year improvement of 159.1%. It is estimated to report revenues of $1.04 billion, which suggests an increase of approximately 1.5% from the year-ago quarter.
Vertiv carries a Zacks Rank #2 and has an Earnings ESP of +2.44%. The company is scheduled to report fourth-quarter 2023 results on Feb 21. Its earnings surpassed the Zacks Consensus Estimate thrice in the trailing four quarters while missing on one occasion, the average surprise being 27.8%.
The Zacks Consensus Estimate for Vertiv’s fourth-quarter earnings is pegged at 53 cents per share, indicating a year-over-year increase of 89.3%. The consensus mark for revenues stands at $1.89 billion, calling for a year-over-year rise of 14.1%.
Akamai is slated to report fourth-quarter 2023 results on Feb 13. The company has a Zacks Rank #2 and an Earnings ESP of +1.61% at present. Akamai’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.9%.
The Zacks Consensus Estimate for fourth-quarter earnings is pegged at $1.59 per share, suggesting an increase of 16.1% from the year-ago quarter’s earnings of $1.37. Akamai’s quarterly revenues are estimated to improve 7.5% to $997.6 million.
Image: Bigstock
Is a Beat Likely for Qualys (QLYS) This Earnings Season?
Qualys, Inc. (QLYS - Free Report) is likely to beat expectations when it reports fourth-quarter 2023 results after market close on Feb 12.
For the quarter, the company anticipates revenues in the band of $144.1-$145.1 million. The Zacks Consensus Estimate for revenues is pegged at $144.7 million, implying growth of 10.6% from the figure reported in the year-ago quarter.
Non-GAAP earnings per share are envisioned in the band of $1.18-$1.28. The Zacks Consensus Estimate is pegged at $1.25 per share, indicating an increase of 23.8% from the figure reported in the year-ago quarter.
The company’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 20.7%.
Let’s see how things are shaping up for the upcoming announcement.
Qualys, Inc. Price and EPS Surprise
Qualys, Inc. price-eps-surprise | Qualys, Inc. Quote
Factors to Note Ahead of Q4 Earnings
Qualys offers cloud security and compliance solutions that enable organizations to identify security risks to their information technology infrastructures. This helps protect their IT systems and applications from cyberattacks.
The company’s fourth-quarter performance is likely to have benefited from the surging demand for security and networking products amid the growing hybrid working trend. Accelerated digital transformations by organizations are also expected to have fueled the demand for QLYS’ cloud-based security solutions.
Qualys' recurring subscription-based business model has been providing relative stability to its top line amid post-pandemic disruptions. The company expects to drive durable top-line growth and leverage its highly scalable model to maintain strong cash flow and industry-leading profitability.
Qualys' ability to attract new customers and retain existing ones underscores its strong market positioning and value proposition. For the last few quarters, Qualys has been able to close a significant number of six-figure deals. We expect the trend to have continued during the to-be-reported quarter, thereby boosting its total revenues.
However, enterprises are postponing their large IT spending plans due to a weakening global economy amid ongoing macroeconomic and geopolitical issues. This may have hurt Qualys’ overall financial performance in the fourth quarter.
Earnings Whispers
Our proven model predicts an earnings beat for Qualys this earnings season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.27 per share) and the Zacks Consensus Estimate ($1.25 per share), is +2.01%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: Qualys carries a Zacks Rank #3.
Other Stocks With the Favorable Combination
Per our model, Twilio (TWLO - Free Report) , Vertiv (VRT - Free Report) and Akamai Technologies (AKAM - Free Report) also have the right combination of elements to post an earnings beat in their upcoming releases.
Twilio carries a Zacks Rank #2 and has an Earnings ESP of +31.37%. The company is scheduled to report fourth-quarter 2023 results on Feb 14. Its earnings beat the Zacks Consensus Estimate in the preceding four quarters, with the average surprise being 157.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Twilio’s fourth-quarter earnings stands at 57 cents per share, indicating a year-over-year improvement of 159.1%. It is estimated to report revenues of $1.04 billion, which suggests an increase of approximately 1.5% from the year-ago quarter.
Vertiv carries a Zacks Rank #2 and has an Earnings ESP of +2.44%. The company is scheduled to report fourth-quarter 2023 results on Feb 21. Its earnings surpassed the Zacks Consensus Estimate thrice in the trailing four quarters while missing on one occasion, the average surprise being 27.8%.
The Zacks Consensus Estimate for Vertiv’s fourth-quarter earnings is pegged at 53 cents per share, indicating a year-over-year increase of 89.3%. The consensus mark for revenues stands at $1.89 billion, calling for a year-over-year rise of 14.1%.
Akamai is slated to report fourth-quarter 2023 results on Feb 13. The company has a Zacks Rank #2 and an Earnings ESP of +1.61% at present. Akamai’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.9%.
The Zacks Consensus Estimate for fourth-quarter earnings is pegged at $1.59 per share, suggesting an increase of 16.1% from the year-ago quarter’s earnings of $1.37. Akamai’s quarterly revenues are estimated to improve 7.5% to $997.6 million.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.