BABA’s earnings are being released tomorrow (May 26th) before market open.
BABA historically beats earnings 83.87% of the time, with an average beat on earnings of -7.45%.
Conversely, BABA historically misses earnings 16.13% of the time, with an average miss of 18.31%.
By taking a weighted average (83.87% for earnings beats, and 16.13% for earnings misses) of the average gains/losses we can arrive at an estimate of how much BABA will beat (or miss) their earnings by. BABA has a weighted average EPS beat of 6.25%, and a weighted average EPS miss of 2.95%. By adding these weighted averages together we arrive at an estimated earnings beat of 3.3%.
Applying this to their earnings estimate we can expect BABA to beat their EPS estimate by 3.3% which would result in a reported EPS of $7.41 (compared to the estimate of $7.17).
Originally published at https://utradea.com.
