SolarWinds ( SWI ) will release its quarterly earnings report on Thursday, 2024-10-31. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate SolarWinds ( SWI ) to report an earnings per share (EPS) of $0.25.

Investors in SolarWinds ( SWI ) are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Performance in Previous Earnings

In the previous earnings release, the company beat EPS by $0.03, leading to a 4.22% drop in the share price the following trading session.

Here's a look at SolarWinds's ( SWI ) past performance and the resulting price change:

Analyst Views on SolarWinds

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding SolarWinds ( SWI ).

Analysts have given SolarWinds ( SWI ) a total of 2 ratings, with the consensus rating being Neutral. The average one-year price target is $13.5, indicating a potential 8.0% upside.

Understanding Analyst Ratings Among Peers

The analysis below examines the analyst ratings and average 1-year price targets of N-able, Zuora and Progress Software, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.

N-able received a Buy consensus from analysts, with an average 1-year price target of $16.5, implying a potential 32.0% upside.

Analysts currently favor an Buy trajectory for Zuora, with an average 1-year price target of $13.25, suggesting a potential 6.0% upside.

Analysts currently favor an Buy trajectory for Progress Software, with an average 1-year price target of $70.5, suggesting a potential 464.0% upside.

Summary of Peers Analysis

The peer analysis summary presents essential metrics for N-able, Zuora and Progress Software, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

SolarWinds ( SWI ) ranks at the bottom for Revenue Growth among its peers. It is in the middle for Gross Profit. For Return on Equity, SolarWinds ( SWI ) is at the bottom compared to its peers.

Unveiling the Story Behind SolarWinds

SolarWinds Corp ( SWI ) is a provider of information technology (IT), and management software. Company offers full-stack observability solutions. The company's business is focused on building products that enable technology professionals and leaders to securely monitor and manage the performance of their IT environments, whether on-premises, in the cloud or in hybrid deployments. The products offered are designed to monitor and manage networks, systems, databases and applications across on-premises, multi-cloud and hybrid IT environments without the need for customization or professional services.

SolarWinds: Financial Performance Dissected

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: SolarWinds's ( SWI ) remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 4.44%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: SolarWinds's ( SWI ) net margin is impressive, surpassing industry averages. With a net margin of 5.75%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 0.86%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): SolarWinds's ( SWI ) financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.35%, the company showcases efficient use of assets and strong financial health.

Debt Management: SolarWinds's ( SWI ) debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.97, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

To track all earnings releases for SolarWinds ( SWI ) visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.