Data infrastructure software company, Confluent (NASDAQ:CFLT) will be reporting earnings this Wednesday after the bell. Here’s what you need to know.
Confluent beat analysts’ revenue expectations by 2.6% last quarter, reporting revenues of $271.1 million, up 24.8% year on year. It was a strong quarter for the company, with EPS guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.
Is Confluent a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Confluent’s revenue to grow 18.4% year on year to $278.3 million, slowing from the 24.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.08 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Confluent has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 2.2% on average.
With Confluent being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for data and analytics software stocks. However, there has been positive investor sentiment in the segment, with share prices up 3.6% on average over the last month. Confluent is up 8.6% during the same time and is heading into earnings with an average analyst price target of $28.90 (compared to the current share price of $27.07).
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