Manhattan Associates Prepares for Q3 2024 Earnings Report
Company Earnings Outlook
Manhattan Associates MANH will announce its third-quarter 2024 results on October 22. The company anticipates earnings of roughly $1.06 per share, with projected revenues ranging from $261 million to $265 million.
The Zacks Consensus Estimate for Q3 earnings has remained unchanged at $1.06 per share for the last month, reflecting a modest growth of 0.95% compared to the same quarter last year. Revenue expectations sit at approximately $263.36 million, marking a significant increase of 10.45% year over year.
Historically, Manhattan Associates has exceeded the Zacks Consensus Estimate in all of the last four quarters, achieving an impressive average surprise of 26.61%.
Let’s explore the factors influencing the upcoming earnings announcement:
Key Influencing Factors
The third quarter is expected to demonstrate strong demand for Manhattan Associates’ cloud solutions primarily within retail, manufacturing, and wholesale sectors, which account for over 80% of the company’s bookings. Improved win rates have likely contributed to a growing customer base, enhancing both conversions and cross-sells during this period.
Additionally, an expanding internal services organization and a broadening network of value partners have positively shaped developments this quarter. New products, such as the Fulfilment Experience Insight Dashboard and Manhattan Yard Management, are expected to contribute to revenue growth.
Furthermore, the company’s generative AI-driven solutions like Manhattan Active Maven and Manhattan Assist are also anticipated to enhance top-line performance by automating tasks related to customer service and investment decisions.
Yet, uncertainties around project launches and several delayed deals may have negatively impacted performance this quarter. Ongoing macroeconomic challenges could also hinder the expected growth rate.
Analysis of Current Standings
The Zacks model indicates that a combination of a positive Earnings ESP and a Zacks Rank of #1 (Strong Buy), #2 (Buy), or #3 (Hold) can boost the chances of an earnings surprise. However, Manhattan Associates currently has an Earnings ESP of 0.00% and holds a Zacks Rank of #3.
Other Stocks to Watch
Investors may also want to consider the following companies, as they show promise for upcoming earnings reports:
Reddit has an Earnings ESP of +72.10% and a Zacks Rank #2, with share prices rising 53.2% year to date. The company is scheduled to release its third-quarter 2024 results on October 29.
CommVault Systems CVLT sports an Earnings ESP of +4.46% and currently holds a Zacks Rank #3. Shares have surged 83.2% year to date, with results for the second quarter of fiscal 2025 set for announcement on October 29.
Pegasystems PEGA features an Earnings ESP of +11.43% and maintains a Zacks Rank #3. The company’s shares have appreciated 50.1% year to date, and they are set to report their third-quarter 2024 results on October 23.
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