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Analysts Estimate Avient (AVNT) to Report a Decline in Earnings: What to Look Out for
ZACKSยท 2025-04-29 15:07
Core Viewpoint - Avient (AVNT) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending March 2025, with the actual results being crucial for its near-term stock price movement [1][2]. Earnings Expectations - The upcoming earnings report is expected to be released on May 6, with a consensus EPS estimate of $0.75 per share, reflecting a year-over-year decrease of 1.3%. Revenues are projected to be $833.46 million, which is a 0.5% increase from the previous year [3]. - The consensus EPS estimate has been revised down by 4.33% over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for Avient is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.42%, which complicates the prediction of an earnings beat [10][11]. - A positive Earnings ESP is generally a strong predictor of an earnings beat, especially when combined with a favorable Zacks Rank, but Avient currently holds a Zacks Rank of 3, making it challenging to predict a positive outcome [8][11]. Historical Performance - In the last reported quarter, Avient was expected to post earnings of $0.48 per share but exceeded expectations with actual earnings of $0.49, resulting in a surprise of +2.08%. Over the last four quarters, the company has consistently beaten consensus EPS estimates [12][13]. Conclusion - While Avient does not appear to be a compelling candidate for an earnings beat, it is essential for investors to consider other factors influencing stock performance ahead of the earnings release [16].