Franklin Covey (FC) Expected to Beat Earnings Estimates: Can the Stock Move Higher?

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Franklin Covey despite higher revenues, with a focus on how actual results will compare to estimates [1][3]. Earnings Expectations - Franklin Covey is expected to report a quarterly loss of $0.11 per share, reflecting a significant year-over-year decline of 283.3% [3]. - Revenue projections stand at $62.72 million, indicating a 2.3% increase from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 6.02% higher in the last 30 days, suggesting a positive reassessment by analysts [4]. - A positive Earnings ESP of +20.59% indicates that analysts have recently become more optimistic about the company's earnings prospects [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the former being more recent and potentially more accurate [6]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. Historical Performance - In the last reported quarter, Franklin Covey was expected to post earnings of $0.22 per share but only achieved $0.09, resulting in a surprise of -59.09% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [13]. Conclusion - While Franklin Covey is positioned as a compelling earnings-beat candidate, other factors should also be considered when evaluating the stock ahead of its earnings release [16].