Autodesk (ADSK) is set to report its first-quarter fiscal 2026 results on May 22. The company’s recent fourth-quarter fiscal 2025 performance surpassed expectations, showing a revenue increase of 12% to $1.64 billion. Additionally, the non-GAAP operating margin saw an impressive rise to 37.1%.

Looking ahead, Autodesk anticipates first-quarter fiscal 2026 revenues between $1.60 billion and $1.61 billion. The projected non-GAAP earnings per share (EPS) is estimated to fall within $2.14 to $2.17, indicating a modest sequential growth. However, the company’s recent restructuring plan, which affects about 9% of its workforce (approximately 1,350 employees), may introduce short-term disruptions, despite potential long-term advantages.

The Zacks Consensus Estimate for revenue stands at $1.61 billion, reflecting a potential growth rate of 13.39% year-over-year. Similarly, the EPS consensus estimate remains steady at $2.14 per share, suggesting a 14.44% increase from the previous year’s figures.

In its latest quarter, Autodesk delivered an earnings surprise of 7.51%. Notably, the company has beaten the Zacks Consensus Estimate in each of the past four quarters, with an average surprise of 5.73%.

Autodesk, Inc. Price and EPS Surprise

The upcoming earnings report will be significant as it follows a robust fourth quarter amid ongoing business transformation initiatives.

Market Influencers

Several factors may affect Autodesk’s first-quarter results. The ongoing optimization of their go-to-market strategy—including marketing, customer success, and operational tactics—offers both opportunities and challenges. Furthermore, macroeconomic uncertainties might impact customer spending decisions, affecting business growth. The company’s Chief Revenue Officer transition also adds another layer of complexity to near-term performance.

On a positive note, Autodesk has experienced strong momentum in its Construction business, acquiring nearly 400 new logos last quarter and showing rapid revenue growth. The company is also reallocating resources to focus on cloud, platform, and artificial intelligence initiatives, which could enhance its competitive edge over time.

While Autodesk’s outlook for margin expansion remains encouraging, with the underlying non-GAAP operating margin projected to reach 39-40% for fiscal 2026, this needs to be balanced against slowing top-line growth. The management has announced plans to provide further insights on margin expansion during an analyst day scheduled for the third quarter.

Given these mixed indicators, investors may want to reassess their positions while awaiting clearer insights into Autodesk’s restructuring and optimization strategy before increasing their holdings.

Model Predictions

According to the Zacks model, a combination of a positive earnings ESP and a Zacks Rank of #1 (Strong Buy), #2 (Buy), or #3 (Hold) generally indicates a higher likelihood of an earnings beat, which does not apply in this case.

Currently, Autodesk carries an earnings ESP of 0.00% and a Zacks Rank of #3. Investors can leverage the Zacks earnings ESP Filter to discover top stocks for potential earnings beats.

Stocks to Watch

Several companies are showing strong potential for outperforming their earnings forecasts:

Salesforce (CRM) will announce its quarterly results on May 28, with an earnings ESP of +0.57% and a Zacks Rank of #3.

Nutanix (NTNX) is also scheduled to release its quarterly numbers on May 28, holding an earnings ESP of +5.26% and a Zacks Rank of #3.

Seanergy Maritime Holdings (SHIP) features an earnings ESP of +12.64% and a Zacks Rank of #3, with its quarterly release set for May 21.