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Sunworks (SUNW) to Post Q3 Earnings: What's in the Offing?

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Sunworks, Inc is set to report third-quarter 2019 results on Oct 31, before market open.

Its earnings missed the Zacks Consensus Estimate in two of the last four quarters, the average negative surprise being 105.56%.

Let’s see how things are shaping up prior to this announcement.

Factors at Play

During the second-quarter earnings call, Sunworks revealed its plans of beginning installation for MAROMA projects in California in the third quarter. The installation is expected to have boosted the company’s revenues by $0.5 million in the quarter. Moreover, the company’s residential business is performing well lately and likely to have contributed to the overall top line.

Considering these factors, the Zacks Consensus Estimate for Sunworks’ third-quarter revenues currently pegged at $20 million reflects an 11.1% rise from the year-ago quarter’s reported number.

However, Sunworks has been witnessing a declining trend in its operating expenses for the last couple of years now. This is primarily a result of the continuous efforts undertaken by the company to streamline operations and align costs with core operational objectives. Assuming that such a trend has continued in the third quarter, the company’s bottom-line results are likely to reflect growth.

The Zacks Consensus Estimate for third-quarter earnings is pegged at a breakeven, reflecting an improvement from the year-ago quarter’s reported loss of 7 cents.

What the Zacks Model Unveils

Our proven model does not conclusively predict an earnings beat for Sunworks this season. 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.

Sunworks has an Earnings ESP of 0.00% and a Zacks Rank #3.  You can see the complete list of today’s Zacks #1 Rank stocks here.

Sunworks, Inc. Price and EPS Surprise

Upcoming Solar Releases

Azure Power Global Ltd carries a Zacks Rank #3 and is expected to post second-quarter fiscal 2020 results soon.

Vivint Solar carries a Zacks Rank #3 and is expected to post third-quarter 2019 results soon.

A Recent Solar Release

First Solar Inc (FSLR - Free Report) reported third-quarter 2019 adjusted earnings of 29 cents per share, missing the Zacks Consensus Estimate of $1.06 by 72.6%. The figure, however, grew from the prior-year quarter’s loss per share of 18 cents.

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