Earnings Preview: ATS (ATS) Q1 Earnings Expected to Decline

Core Viewpoint - ATS is expected to report a year-over-year decline in earnings due to lower revenues, with the earnings report set for August 8, 2024, being a significant factor for stock price movement [1] Group 1: Earnings Estimates - ATS is projected to post quarterly earnings of $0.40 per share, reflecting a year-over-year decrease of 21.6% [2] - Revenues for ATS are anticipated to be $507.18 million, down 9.6% from the same quarter last year [2] Group 2: Estimate Revisions - The consensus EPS estimate for ATS has been revised down by 0.61% over the last 30 days, indicating a bearish sentiment among analysts [3] - The Most Accurate Estimate for ATS is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -6.33% [6] Group 3: Earnings Surprise Prediction - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [5] - ATS currently holds a Zacks Rank of 4, making it challenging to predict an earnings beat [7] Group 4: Historical Performance - In the last reported quarter, ATS had an earnings surprise of +17.07%, with actual earnings of $0.48 per share compared to an expected $0.41 [8] - Over the past four quarters, ATS has beaten consensus EPS estimates two times [8] Group 5: Industry Comparison - Helios Technologies, another player in the same industry, is expected to report earnings of $0.61 per share, indicating a year-over-year decline of 24.7% [10] - Helios Technologies has a Zacks Rank of 5, making it difficult to predict an earnings beat, despite a recent revision of the EPS estimate being 0.8% higher [10]