Genasys (NASDAQ:GNSS) is gearing up to announce its quarterly earnings on Monday, 2024-12-09. Here's a quick overview of what investors should know before the release.
Analysts are estimating that Genasys will report an earnings per share (EPS) of $-0.11.
Anticipation surrounds Genasys's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.
New investors should understand that while earnings performance is important, market reactions are often driven by guidance.
Performance in Previous Earnings
The company's EPS missed by $0.00 in the last quarter, leading to a 2.85% increase in the share price on the following day.
Here's a look at Genasys's past performance and the resulting price change:
| Quarter | Q3 2024 | Q2 2024 | Q1 2024 | Q4 2023 |
|---|---|---|---|---|
| EPS Estimate | -0.15 | -0.12 | -0.10 | -0.08 |
| EPS Actual | -0.15 | -0.16 | -0.15 | -0.07 |
| Price Change % | 3.0% | -1.0% | -9.0% | -4.0% |
Market Performance of Genasys's Stock
Shares of Genasys were trading at $3.93 as of December 05. Over the last 52-week period, shares are up 139.39%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Observations about Genasys
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Genasys.
Genasys has received a total of 2 ratings from analysts, with the consensus rating as Buy. With an average one-year price target of $5.25, the consensus suggests a potential 33.59% upside.
Comparing Ratings with Competitors
In this analysis, we delve into the analyst ratings and average 1-year price targets of Aviat Networks, Lantronix and Comtech Telecom, three key industry players, offering insights into their relative performance expectations and market positioning.
- The consensus outlook from analysts is an Buy trajectory for Aviat Networks, with an average 1-year price target of $39.71, indicating a potential 910.43% upside.
- The consensus among analysts is an Buy trajectory for Lantronix, with an average 1-year price target of $6.0, indicating a potential 52.67% upside.
- As per analysts' assessments, Comtech Telecom is favoring an Buy trajectory, with an average 1-year price target of $9.25, suggesting a potential 135.37% upside.
Summary of Peers Analysis
The peer analysis summary offers a detailed examination of key metrics for Aviat Networks, Lantronix and Comtech Telecom, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Genasys | Buy | -49.75% | $3.78M | -21.09% |
| Aviat Networks | Buy | 1.75% | $19.79M | -4.72% |
| Lantronix | Buy | 4.21% | $14.47M | -3.12% |
| Comtech Telecom | Buy | -15.20% | $27.14M | -28.23% |
Key Takeaway:
Genasys ranks at the bottom for Revenue Growth among its peers. It also ranks at the bottom for Gross Profit. However, it ranks in the middle for Return on Equity.
Delving into Genasys's Background
Genasys Inc is a provider of critical communications solutions designed to help keep people safe. The company is engaged in the design, development, and commercialization of directed and multidirectional sound technologies, voice broadcast products and location-based mass messaging solutions for emergency warning and workforce management. Its operating segment includes Hardware and Software. The company generates maximum revenue from the Hardware segment. Geographically, it derives a majority of revenue from the Americas region and also has its presence in the Asia Pacific and Europe, Middle East and Africa.
A Deep Dive into Genasys's Financials
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Challenges: Genasys's revenue growth over 3 months faced difficulties. As of 30 June, 2024, the company experienced a decline of approximately -49.75%. This indicates a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.
Net Margin: Genasys's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -93.23%, the company may encounter challenges in effective cost control.
Return on Equity (ROE): Genasys's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -21.09%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Genasys's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of -12.1%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: With a below-average debt-to-equity ratio of 0.57, Genasys adopts a prudent financial strategy, indicating a balanced approach to debt management.
To track all earnings releases for Genasys visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
