Zacks: Brokerages Expect Secureworks Corp (SCWX) to Announce -$0.05 EPS

Analysts expect Secureworks Corp (NASDAQ:SCWX) to post ($0.05) earnings per share (EPS) for the current quarter, Zacks reports. Four analysts have issued estimates for Secureworks’ earnings. The lowest EPS estimate is ($0.06) and the highest is ($0.05). Secureworks posted earnings per share of ($0.06) during the same quarter last year, which suggests a positive year over year growth rate of 16.7%. The business is expected to report its next earnings results on Wednesday, June 5th.

On average, analysts expect that Secureworks will report full-year earnings of ($0.11) per share for the current fiscal year, with EPS estimates ranging from ($0.12) to ($0.09). For the next fiscal year, analysts forecast that the company will report earnings of $0.00 per share, with EPS estimates ranging from ($0.07) to $0.15. Zacks’ EPS calculations are a mean average based on a survey of sell-side analysts that that provide coverage for Secureworks.

Secureworks (NASDAQ:SCWX) last issued its quarterly earnings results on Wednesday, March 27th. The technology company reported $0.02 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.06. The business had revenue of $130.70 million for the quarter, compared to the consensus estimate of $132.62 million. Secureworks had a negative return on equity of 1.85% and a negative net margin of 7.54%. Secureworks’s revenue for the quarter was up 8.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.09) earnings per share.

SCWX has been the subject of a number of recent research reports. BidaskClub raised shares of Secureworks from a “buy” rating to a “strong-buy” rating in a research report on Monday, February 4th. Zacks Investment Research raised shares of Secureworks from a “hold” rating to a “buy” rating and set a $25.00 target price on the stock in a research note on Tuesday, March 5th. Finally, Bank of America reiterated an “underperform” rating and set a $12.50 target price (up from $10.50) on shares of Secureworks in a report on Tuesday, February 5th. Four equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and one has assigned a buy rating to the company’s stock. Secureworks has an average rating of “Hold” and a consensus target price of $15.44.

Shares of NASDAQ SCWX traded up $1.25 during trading on Monday, hitting $19.14. 418,900 shares of the company traded hands, compared to its average volume of 282,328. Secureworks has a fifty-two week low of $9.87 and a fifty-two week high of $24.91. The firm has a market capitalization of $1.45 billion, a P/E ratio of -119.63 and a beta of 1.05.

Several institutional investors and hedge funds have recently bought and sold shares of SCWX. Acadian Asset Management LLC grew its stake in Secureworks by 59.7% in the fourth quarter. Acadian Asset Management LLC now owns 5,771 shares of the technology company’s stock valued at $97,000 after purchasing an additional 2,157 shares in the last quarter. Sun Life Financial INC raised its position in shares of Secureworks by 136.2% in the fourth quarter. Sun Life Financial INC now owns 7,774 shares of the technology company’s stock valued at $131,000 after buying an additional 4,483 shares in the last quarter. New York State Common Retirement Fund raised its holdings in shares of Secureworks by 138.6% during the fourth quarter. New York State Common Retirement Fund now owns 10,500 shares of the technology company’s stock valued at $177,000 after purchasing an additional 6,100 shares during the period. Citadel Advisors LLC acquired a new stake in shares of Secureworks in the 3rd quarter worth about $178,000. Finally, D. E. Shaw & Co. Inc. bought a new stake in Secureworks in the 4th quarter worth about $203,000. 10.77% of the stock is currently owned by institutional investors.

About Secureworks

SecureWorks Corp., through its subsidiaries, provides intelligence-driven information security solutions focused on protecting organizations from cyber-attacks. The company's solutions include managed security, threat intelligence, security and risk consulting, and incident response. Its solutions enable organizations to fortify their cyber defenses to prevent security breaches, detect malicious activity in real time, prioritize and respond to security incidents, and predict emerging threats.

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