Wireless telecommunications provider Array (NYSE: AD) will be announcing earnings results this Friday before the bell. Here’s what you need to know.
Array missed analysts’ revenue expectations last quarter, reporting revenues of $52.01 million, up 92.8% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ EPS estimates.
Is Array a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Array’s revenue to decline 94.3% year on year, a further deceleration from the 1.2% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Array has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Array’s peers in the telecommunication services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Lumen’s revenues decreased 9.3% year on year, beating analysts’ expectations by 2.4%, and Viasat reported a revenue decline of 1.2%, falling short of estimates by 4.4%. Lumen traded down 11% following the results while Viasat was also down 6%.
Read our full analysis of Lumen’s results here and Viasat’s results here.
There has been positive sentiment among investors in the telecommunication services segment, with share prices up 7.1% on average over the last month. Array’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $46.34 (compared to the current share price of $35.21).
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