Zacks: Brokerages Anticipate Switch, Inc. (NYSE:SWCH) to Post $0.05 Earnings Per Share


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Equities research analysts expect Switch, Inc. (NYSE:SWCH) to announce $0.05 earnings per share for the current quarter, Zacks reports. Six analysts have issued estimates for Switch’s earnings, with the highest EPS estimate coming in at $0.06 and the lowest estimate coming in at $0.05. Switch posted earnings of $0.04 per share in the same quarter last year, which would suggest a positive year over year growth rate of 25%. The firm is scheduled to report its next quarterly earnings results on Friday, May 14th.

According to Zacks, analysts expect that Switch will report full-year earnings of $0.22 per share for the current financial year, with EPS estimates ranging from $0.18 to $0.26. For the next financial year, analysts forecast that the company will report earnings of $0.24 per share, with EPS estimates ranging from $0.15 to $0.32. Zacks’ earnings per share averages are a mean average based on a survey of research firms that follow Switch.

Switch (NYSE:SWCH) last released its earnings results on Sunday, February 28th. The company reported $0.05 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.05. Switch had a net margin of 2.60% and a return on equity of 2.90%. The company had revenue of $127.75 million during the quarter, compared to the consensus estimate of $131.36 million. During the same quarter in the prior year, the firm earned $0.04 EPS. The company’s revenue was up 6.0% compared to the same quarter last year.

A number of research analysts have commented on the company. Truist assumed coverage on Switch in a research note on Tuesday, February 2nd. They issued a “buy” rating and a $24.00 target price on the stock. William Blair restated an “outperform” rating on shares of Switch in a report on Tuesday, March 2nd. Raymond James reaffirmed an “outperform” rating and set a $19.00 price objective (down previously from $24.00) on shares of Switch in a research report on Monday, March 8th. Finally, Jefferies Financial Group raised shares of Switch from a “hold” rating to a “buy” rating and boosted their target price for the stock from $18.00 to $22.00 in a research report on Wednesday, January 13th. One equities research analyst has rated the stock with a sell rating and nine have assigned a buy rating to the company. The stock presently has a consensus rating of “Buy” and a consensus price target of $21.28.

In other news, CEO Rob Roy sold 89,797 shares of Switch stock in a transaction dated Monday, January 11th. The stock was sold at an average price of $16.09, for a total value of $1,444,833.73. Following the transaction, the chief executive officer now directly owns 765,452 shares in the company, valued at $12,316,122.68. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Thomas A. Thomas sold 15,660 shares of the business’s stock in a transaction dated Thursday, January 21st. The stock was sold at an average price of $16.55, for a total value of $259,173.00. Following the transaction, the director now directly owns 2,159,659 shares of the company’s stock, valued at approximately $35,742,356.45. The disclosure for this sale can be found here. Company insiders own 30.52% of the company’s stock.

A number of hedge funds and other institutional investors have recently modified their holdings of SWCH. Barclays PLC grew its stake in shares of Switch by 561.9% in the fourth quarter. Barclays PLC now owns 5,322 shares of the company’s stock worth $86,000 after acquiring an additional 4,518 shares during the last quarter. Great West Life Assurance Co. Can increased its holdings in shares of Switch by 250.7% during the 3rd quarter. Great West Life Assurance Co. Can now owns 13,307 shares of the company’s stock worth $111,000 after purchasing an additional 9,513 shares during the period. SG Americas Securities LLC bought a new position in shares of Switch during the 3rd quarter worth about $116,000. CIBC World Markets Inc. acquired a new position in shares of Switch during the fourth quarter valued at about $164,000. Finally, Zurcher Kantonalbank Zurich Cantonalbank lifted its stake in shares of Switch by 105.5% in the fourth quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 10,112 shares of the company’s stock valued at $166,000 after buying an additional 5,192 shares during the period. 35.47% of the stock is currently owned by institutional investors.

Shares of NYSE:SWCH traded up $0.25 during midday trading on Friday, hitting $17.49. 46,969 shares of the stock were exchanged, compared to its average volume of 2,279,384. The company has a market capitalization of $4.22 billion, a PE ratio of 132.63 and a beta of 0.72. Switch has a 52-week low of $13.38 and a 52-week high of $19.99. The company has a debt-to-equity ratio of 1.71, a quick ratio of 1.57 and a current ratio of 1.57. The business’s fifty day simple moving average is $16.16 and its two-hundred day simple moving average is $16.15.

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 26th. Stockholders of record on Tuesday, March 16th were paid a $0.05 dividend. This represents a $0.20 dividend on an annualized basis and a dividend yield of 1.14%. The ex-dividend date of this dividend was Monday, March 15th. Switch’s payout ratio is 133.33%.

Switch Company Profile

Switch, Inc, through its subsidiary, Switch, Ltd., provides colocation space and related services in the United States. It develops and operates data centers in Nevada, Michigan, and Georgia. The company serves technology and digital media companies, financial institutions, government agencies, and network and telecommunications providers, as well as cloud, IT, and software providers.

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Earnings History and Estimates for Switch (NYSE:SWCH)

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