Zacks: Brokerages Expect Switch Inc (SWCH) Will Announce Earnings of $0.03 Per Share

Brokerages expect that Switch Inc (NYSE:SWCH) will report $0.03 earnings per share (EPS) for the current fiscal quarter, according to Zacks Investment Research. Five analysts have provided estimates for Switch’s earnings, with the lowest EPS estimate coming in at $0.02 and the highest estimate coming in at $0.04. The firm is scheduled to announce its next quarterly earnings report on Monday, August 13th.

According to Zacks, analysts expect that Switch will report full year earnings of $0.17 per share for the current financial year, with EPS estimates ranging from $0.14 to $0.20. For the next fiscal year, analysts forecast that the company will report earnings of $0.26 per share, with EPS estimates ranging from $0.22 to $0.30. Zacks’ EPS calculations are a mean average based on a survey of analysts that that provide coverage for Switch.

Switch (NYSE:SWCH) last released its quarterly earnings data on Monday, May 14th. The company reported $0.02 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.05 by ($0.03). The firm had revenue of $97.70 million during the quarter, compared to analyst estimates of $99.79 million. The business’s quarterly revenue was up 9.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.10 earnings per share.

Several research firms have recently issued reports on SWCH. Credit Suisse Group set a $22.00 price objective on Switch and gave the stock a “buy” rating in a research report on Thursday, March 29th. BMO Capital Markets decreased their target price on Switch from $23.00 to $20.00 and set an “outperform” rating for the company in a research report on Tuesday, April 3rd. William Blair reissued an “outperform” rating on shares of Switch in a research report on Tuesday, May 15th. Cowen raised Switch from an “underperform” rating to a “market perform” rating in a research report on Thursday, May 10th. Finally, Raymond James raised Switch from a “market perform” rating to an “outperform” rating in a research report on Monday, March 12th. One analyst has rated the stock with a sell rating, five have issued a hold rating and seven have given a buy rating to the stock. Switch currently has a consensus rating of “Hold” and a consensus target price of $20.00.

Shares of Switch traded up $0.06, hitting $13.06, on Thursday, MarketBeat reports. 643,800 shares of the company’s stock were exchanged, compared to its average volume of 934,678. Switch has a 1-year low of $11.90 and a 1-year high of $24.90. The company has a quick ratio of 3.37, a current ratio of 3.37 and a debt-to-equity ratio of 0.80.

The company also recently announced a quarterly dividend, which was paid on Friday, June 8th. Investors of record on Tuesday, May 29th were given a $0.0147 dividend. The ex-dividend date of this dividend was Friday, May 25th. This represents a $0.06 dividend on an annualized basis and a dividend yield of 0.45%.

In related news, major shareholder Intel Capital Corp sold 36,314 shares of the company’s stock in a transaction dated Wednesday, May 30th. The stock was sold at an average price of $12.60, for a total value of $457,556.40. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Over the last three months, insiders sold 787,830 shares of company stock valued at $10,104,914. Insiders own 12.64% of the company’s stock.

A number of institutional investors and hedge funds have recently bought and sold shares of SWCH. Wells Fargo & Company MN purchased a new stake in Switch during the 4th quarter valued at approximately $76,684,000. BlackRock Inc. purchased a new position in shares of Switch during the 4th quarter worth approximately $31,480,000. Deutsche Bank AG purchased a new position in shares of Switch during the 4th quarter worth approximately $22,327,000. Alkeon Capital Management LLC purchased a new position in shares of Switch during the 4th quarter worth approximately $18,175,000. Finally, Zimmer Partners LP purchased a new position in shares of Switch during the 4th quarter worth approximately $17,208,000. 14.13% of the stock is owned by hedge funds and other institutional investors.

About Switch

Switch, Inc, through its subsidiary, Switch, Ltd., provides colocation space and related services to technology and digital media companies, cloud and managed service providers, financial institutions, and telecommunications providers that conduct critical business on the Internet. The company develops and operates data centers in Nevada, Michigan, and Georgia.

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