In a relatively unusual move, fuel cell maker Ballard Power reported quarterly earnings after markets closed last Friday. The company beat revenue expectations with an increase of more than 28% year over year. Ballard forecast operating expenses totaling $140 million to $160 million for the current fiscal year, an increase from around $100 million in fiscal 2021. Capital spending is also shooting higher, from $14.7 in 2021 to a range of $40 million to $60 million. Shares traded down more than 4% shortly after Monday’s opening bell.
After markets close Monday and before they open on Tuesday, Coupa Software, CTI BioPharma and Westport Fuel are scheduled to report quarterly results.
Here is a look at four companies set to report results after Tuesday’s closing bell and first thing Wednesday morning.
GoHealth
Online health insurance and Medicare Advantage marketplace GoHealth Inc. (NASDAQ: GOCO) has seen its share price plunge by nearly 90% over the past 12 months. In January, Chief Financial Officer Vance Johnson resigned after barely two months in the position, never a positive indicator to investors, but the big hit came last August when the company posted a much bigger loss than expected, even though revenue rose 55% year over year. A recently proposed change to contract rates for Medicare Advantage plans did not help GoHealth either. The company reports results after markets close Tuesday.
Of nine brokerages covering the company, six have rated the stock at Hold, one has a Buy rating and two have a Strong Sell rating. At a recent price of around $1.00 a share, the upside potential based on a median price target of $2.00 is 100%. At the high price target of $4.50, the upside potential is 350%.
Fourth-quarter revenue is forecast at $480.61 million, which would be up 127% sequentially and about 7.8% higher year over year. GoHealth’s adjusted loss per share is forecast at $0.11, down sequentially from a loss of $0.17 and down year over year from adjusted earnings per share (EPS) of $0.12. For the full 2021 fiscal year, the company is expected to a loss per share of $0.28, down from EPS of $2.29 in 2020, on sales of $1.14 billion, up nearly 30%.
GoHealth trades at 3.7 times expected 2022 EPS of $0.27 and 1.6 times estimated 2023 earnings of $0.62. The stock’s 52-week range is $0.99 to $12.39, and the low was posted early Monday morning. GoHealth does not pay a dividend. Total shareholder return for the past year is negative 90.1%.
Jabil
Custom chipmaker Jabil Inc. (NYSE: JBL) has added more than 16% to its share price over the past 12 months, including a December spike to an all-time high. Since then, however, the shares are down about 21.5%. The stock may be undervalued, as its earnings multiple of around 8.4 is well below the industry’s average of about 15.3. Current macroeconomic concerns could be either a positive or a negative for the stock going forward. Management’s outlook will play a big role in investor reaction to earnings. JBL reports results before markets open on Wednesday.Of eight brokerages covering the stock, all have given eBay a Buy or Strong Buy rating. At a share price of about $55.75, the upside potential based on a median price target of $78.00 is 39.9%. At the high target of $80, the potential upside is about 43.54%.
Analysts are expecting fiscal second-quarter revenue of $8.18 billion, down about 132% sequentially but up by about 10.4% year over year. Adjusted EPS for the quarter are forecast at $1.72, down by around 22.9% sequentially and 19.4% higher year over year. For the full year ending in August, analysts currently estimate EPS of $6.64, up 18.3%, on revenue of $31.88 billion, up 8.9%.
Shares trade at 8.4 times expected 2022 EPS, 7.8 times estimated 2023 earnings of $7.18 and 7.3 times estimated 2024 earnings of $7.60 per share. The stock’s 52-week range is $47.28 to $72.11. The company pays an annual dividend of $0.32 (yield of 0.57%). Total shareholder return for the past 12 months is 15.9%.
Markforged
3D printer maker Markforged Holding Corp. (NYSE: MKFG) has seen its stock price drop by almost 75% over the past 12 months. Cathie Wood’s ARK Investment Management funds hold about 14.65 million shares of the company’s outstanding stock, the largest stake of any shareholder. Even as the stock price has been sliding, ARK has continued acquiring shares, although at a slower pace than in the summer of 2021. Markforged reports quarterly results after markets close on Tuesday.
Of six brokerages covering the company, five have rated the stock at Buy or Strong Buy and the other has a Hold rating on the shares. At a share price of around $3.10, the upside potential based on a median price target of $9.00 is 190%. At the high price target of $13.50, the upside potential is 335%.
Fourth-quarter revenue is forecast at $20.76 million, up 2% sequentially. The company’s adjusted loss per share is forecast at $0.10, compared to a prior quarter loss of $0.11. For full fiscal 2022, the company is expected to post a loss per share of $0.33, worse than a per-share loss of $0.17 in 2021, on sales of $120.34 million, up 35%.
Markforged is not expected to post a profit in 2022 or 2023. Its sales to enterprise value multiple is 3.2 times in 2021, 2.4 times in 2022 and 1.5 times in 2023. The stock’s 52-week range is $3.03 to $13.87, and the low was posted early Monday morning. The company does not pay a dividend. Total shareholder return for the past year is negative 74.5%.
SentinelOne
Cybersecurity software provider SentinelOne Inc. (NYSE: S) has dropped about 24.4% of its value over the past 12 months. The company, which came public last July, reached a post-IPO high in mid-November and the shares have shed 58% since then. SentinelOne reports results after markets close Tuesday afternoon.
Two weeks ago, competitor CrowdStrike popped 13% after posting better-than-expected earnings and revenues, raising hopes among investors that high-multiple stocks like SentinelOne might follow suit. But a beat would have to be solid and accompany a bright outlook.
Of 17 brokerages covering the company, 14 have rated the stock a Buy or Strong Buy and the others have a Hold rating. At a share price of around $31.90, the upside potential based on a median price target of $65.00 is about 104%. At the high price target of $82.00, the upside potential is 157%.
Fourth-quarter revenue is forecast at $60.68 million, up 8.4% sequentially. The company’s adjusted loss per share is forecast at $0.17, compared to a prior quarter loss of $0.18. For full fiscal 2022, which ended in January, the company is currently expected to a loss per share of $1.41, on sales of $200.05 million.
SentinelOne is not expected to post a profit in 2023 or 2024. The stock’s sales to enterprise value multiple is 34.3 times in 2022, 19.8 times in 2023 and 12.1 times in 2024. The stock’s 52-week range is $31.65 to $78.53, and the low was posted early Monday morning. The company does not pay a dividend.
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