Earnings Week Ahead: Adobe EPS Expectations Raised, Dollar General Overvalued

• Adobe: Analysts slightly increased EPS estimates ahead of Q1/24. Our Fair Value models suggest a potential 5.7% increase in stock price.
• Dollar General: The stock might be priced higher ahead of Q4/24. Fair value analysis indicates a 14.9% downside.
• Dick’s Sporting Goods: EPS estimates raised before Q4/24. However, Fair Value models indicate the stock is overvalued.
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Here is your Pro preview of the major upcoming major earnings reports next week: Adobe, Dollar General, Dick’s Sporting Goods, and Asana.

Adobe

Adobe Systems (NASDAQ:) is set to release its Q1/24 earnings on March 14, after the market close. The consensus among analysts predicts EPS of $4.38 and revenue expectations of $5.14 billion.

A review of EPS Forecast Trends by InvestingPro shows a modest upward revision in EPS forecasts for the quarter, marking a 4.2% rise from the initial estimate of $4.20 to $4.38 over the last 12 months.

Adobe has consistently outperformed EPS and revenue estimates over the last four quarters.

According to InvestingPro’s Fair Value analysis, Adobe’s stock appears to be slightly undervalued, with a calculated fair value of $583.36. This assessment indicates a potential upside of 5.7% from the recent closing price. Furthermore, analysts suggest the stock could see an approximate 17.1% increase in price.

Dollar General

Dollar General (NYSE:) is scheduled to announce its Q4/24 earnings on March 14, before the market opens. The consensus among analysts is set at an EPS of $1.73, with revenue expectations of $9.77B.

An analysis of EPS Forecast Trends by InvestingPro reveals a stark downward adjustment in the anticipated EPS for the quarter, marking a 43.6% reduction from the initial estimate of $3.07 to $1.73 over the past year, largely due to a disappointing Q2 reported in August 2023.

According to InvestingPro’s Fair Value analysis, Dollar General’s stock appears to be overvalued, with a calculated fair value of $134.03. This evaluation indicates a potential downside of 14.9% from the stock’s recent closing price. Additionally, analysts suggest that the stock could face a possible decrease of around 9.8%.

Dick’s Sporting Goods

Dick’s Sporting Goods (NYSE:) is set to unveil its Q4/24 earnings on March 14, before the market opens. The consensus among analysts forecasts an EPS of $3.36 and revenue of $3.79B.

InvestingPro’s EPS Forecast Trends indicate a positive shift in EPS expectations for the upcoming quarter, climbing from $3.12 (before the Q3 beat in November 2023) to $3.36 at present.

Despite the optimistic EPS trend, Dick’s Sporting Goods’ stock is currently deemed overvalued according to InvestingPro’s analysis, with a fair value estimation set at $155.99. This valuation points to a possible 13.9% decline from the stock’s last closing price. Market analysts also anticipate a potential price decrease of about 10.1%.

Asana

Asana (NYSE:) is set to release its Q4/24 earnings on March 11, after the market close. The consensus among analysts anticipates an EPS of ($0.097) alongside revenue predictions amounting to $168 million.

Remarkably, Asana has surpassed EPS and revenue expectations consistently over the past eight quarters.

In addition, InvestingPro’s analysis of EPS Forecast Trends reveals a notable upward adjustment in the forecasted EPS for the upcoming quarter, with a 43.8% increase from an initial prediction of ($0.17) to the current ($0.097) over the last twelve months.

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Disclaimer: This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, or recommendation to invest as such it is not intended to incentivize the purchase of assets in any way. I would like to remind you that any type of asset, is evaluated from multiple points of view and is highly risky and therefore, any investment decision and the associated risk remains with the investor.