Core Viewpoint - QXO, Inc. is anticipated to report a significant year-over-year decline in earnings despite a substantial increase in revenues, which could influence its stock price depending on the actual results compared to expectations [1][3]. Earnings Expectations - The consensus estimate for QXO's upcoming quarterly earnings is $0.04 per share, reflecting a dramatic year-over-year decrease of 98.8% [3]. - Expected revenues for the quarter are projected at $1.87 billion, representing an increase of 12,772.1% compared to the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a stable outlook from covering analysts [4]. - The Most Accurate Estimate for QXO is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -25.00%, suggesting a bearish sentiment among analysts regarding the company's earnings prospects [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with a strong predictive power for positive readings [9][10]. - QXO currently holds a Zacks Rank of 2, which typically indicates a buy recommendation, but the negative Earnings ESP complicates the prediction of an earnings beat [12]. Historical Performance - In the last reported quarter, QXO was expected to post a loss of $0.05 per share but instead reported a loss of -$0.03, resulting in a positive surprise of +40.00% [13]. - Over the past four quarters, QXO has beaten consensus EPS estimates in two instances [14]. Conclusion - While QXO does not appear to be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions related to the stock [17].
Earnings Preview: QXO, Inc. (QXO) Q2 Earnings Expected to Decline