PAR Technology Earnings Preview: What to Expect on November 8th

## PAR Technology Earnings Preview: What to Expect on November 8th

Get ready for a pivotal moment for PAR Technology as they prepare to unveil their latest quarterly earnings report on Friday, November 8th, 2024. Investors are eager to see if the company can beat analyst expectations and deliver positive guidance for the upcoming quarter. While earnings performance is certainly important, the market’s reaction will likely hinge on the guidance provided for the future.

What to Watch for:

*

Earnings per Share (EPS):

Analysts currently predict an EPS of -$0.10. Keep an eye on whether PAR Technology manages to surpass or fall short of this estimate.
*

Guidance:

Pay close attention to what the company projects for the next quarter. Strong guidance signals confidence in the company’s future performance and can have a significant impact on the stock price.

Historical Performance:

Looking back, PAR Technology missed its EPS estimate by $0.05 last quarter, but this was followed by a 2.94% increase in the share price the following day. This shows the potential for positive market reaction even with a slight miss, if the overall outlook remains strong.

Examining the Past:

Here’s a quick look at PAR Technology’s historical performance and the corresponding stock price changes:

| Quarter | EPS Estimate | EPS Actual | Price Change % |
|—|—|—|—|
| Q2 2024 | -0.18 | -0.23 | 3.0% |
| Q1 2024 | -0.29 | -0.36 | 1.0% |
| Q4 2023 | -0.26 | -0.33 | 0.0% |
| Q3 2023 | -0.35 | -0.21 | 9.0% |

Share Price Analysis:

As of November 6th, PAR Technology shares were trading at $66.27. Over the past 52 weeks, the stock has seen a remarkable 90.28% increase. This positive trend suggests that long-term shareholders are likely optimistic going into the earnings release.

Analyst Perspectives:

Understanding market sentiment and industry expectations is essential for investors. Here’s a breakdown of the latest insights on PAR Technology:

*

Consensus Rating:

The consensus rating for PAR Technology is

Buy

, based on 6 analyst ratings. This indicates that analysts, on average, believe the stock is undervalued and has potential for growth.
*

Average 1-Year Price Target:

The average one-year price target is $64.0, suggesting a potential 3.43% downside from the current price. While this implies a modest decrease, it’s important to note that price targets are dynamic and can change based on new information.

Comparing with Peers:

To get a better grasp of PAR Technology’s performance relative to its competitors, let’s examine the analyst ratings and average 1-year price targets of three major industry players:

*

OSI Systems:

Analyst consensus is

Buy

with an average 1-year price target of $175.0, indicating a potential 164.07% upside.
*

Crane NXT:

Analyst consensus is

Outperform

with an average 1-year price target of $87.33, suggesting a potential 31.78% upside.
*

NAPCO Security Techs:

Analyst consensus is

Buy

with an average 1-year price target of $50.71, indicating a potential 23.48% downside.

Peer Metrics Summary:

| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|—|—|—|—|—|
| PAR Technology | Buy | 12.40% | $32.03M | 9.72% |
| OSI Systems | Buy | 23.21% | $121.50M | 2.17% |
| Crane NXT | Outperform | 5.16% | $160.90M | 4.26% |
| NAPCO Security Techs | Buy | 5.58% | $24.62M | 6.26% |

Key Takeaway:

PAR Technology stands out for its strong Revenue Growth among its peers. It ranks in the middle for Gross Profit and Return on Equity. This indicates a balanced approach to growth and profitability.

About PAR Technology:

PAR Technology Corp, along with its subsidiaries, develops and provides management technology solutions for the restaurant and retail industries as well as government sectors. Their solutions include software, hardware, and integrated services that support point-of-sale systems, task management, data gathering, and communication. The company generates the majority of its revenue from the Restaurant/Retail segment.

Financial Performance Analysis:

*

Market Capitalization:

PAR Technology’s market capitalization is below industry averages, potentially reflecting its smaller size or growth expectations.
*

Revenue Growth:

Over the past 3 months, PAR Technology achieved a solid revenue growth rate of 12.4% as of June 30th, 2024. However, this growth rate is lower than the average for companies in the Information Technology sector.
*

Net Margin:

PAR Technology boasts a remarkable net margin of 69.34%, exceeding industry averages. This demonstrates strong profitability and effective cost management.
*

Return on Equity (ROE):

With an ROE of 9.72%, PAR Technology surpasses industry averages, indicating efficient use of equity capital and strong financial performance.
*

Return on Assets (ROA):

PAR Technology’s ROA of 5.25% is also above industry averages, highlighting the efficient use of assets and strong financial health.
*

Debt Management:

PAR Technology has a high debt-to-equity ratio of 0.65, indicating potential financial strain and challenges in managing debt levels.

Stay Informed:

To keep track of all earnings releases for PAR Technology, be sure to visit our earnings calendar on our site.

This article was generated by Benzinga’s automated content engine and reviewed by an editor. Benzinga does not provide investment advice. All rights reserved.