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BOX Gears Up to Report Q4 Earnings: What's in the Cards?

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·4 min read
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Box, Inc. BOX is scheduled to report fourth-quarter fiscal 2022 results on Mar 2.

For the third quarter, the company expects revenues between $227 million and $229 million, suggesting a year-over-year rise of 15% at the higher end. The Zacks Consensus Estimate for the same is pegged at $228.1 million, indicating growth of 14.7% from the year-ago reported value.

Further, BOX anticipates non-GAAP earnings per share of 22-23 cents. The consensus mark for earnings per share is pegged at 23 cents, suggesting an improvement of 4.6% from the previous-year reported figure. Also, the metric has been unchanged for the past 30 days.

It surpassed the Zacks Consensus Estimate in all the trailing four quarters, with the average being 15.9%.

Box, Inc. Price and EPS Surprise

Box, Inc. Price and EPS Surprise
Box, Inc. Price and EPS Surprise

Box, Inc. price-eps-surprise | Box, Inc. Quote

Key Factors to Note

Growing adoption of hybrid working methods and demand for digital transformation, data security, compliance and privacy in businesses are expected to have benefited Box’s fiscal fourth-quarter performance.

The increasing demand for the company’s content cloud solutions by new and existing customers is expected to have remained a major tailwind. Also, Box has been witnessing growth in the net retention rate. This might have aided the quarterly performance.

During the fourth quarter, Box was selected by Panasonic Information Systems for seamless and safe cloud content management and collaboration. In addition, Box’s e-signature capability named Box Sign got picked by the U.S. General Services Administration for a seamless signing experience. These might have supported the quarterly performance.

Further, the company’s growing efforts toward product innovation are expected to have supported the quarterly performance.

In the fourth quarter, Box made an enhancement to the Box Admin Console by introducing new monitoring and reporting tools to help customers protect data and run businesses securely. The initiative is likely to have benefited its performance in the to-be-reported quarter.

Additionally, go-to-market strategies including price optimization and packaging might have aided Box’s performance in the quarter under review.

Yet, rising cloud competition from players like Google and Dropbox is expected to have remained a concern in the quarter under discussion.

Further, mounting expenses related to research & development and sales & marketing might have dented margins and profits in the quarter to be reported.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Box this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Box has an Earnings ESP of 0.00% and a Zacks Rank #2 at present.

Stocks to Consider

Here are some stocks that you may consider as our model shows that these have the right combination of elements to beat on earnings this season.

DICK’S Sporting Goods DKS has an Earnings ESP of +4.86% and a Zacks Rank of 1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

DICK’s is scheduled to release fourth-quarter fiscal 2022 results on Mar 8. The Zacks Consensus Estimate for DKS’ earnings is pegged at $3.39 per share, suggesting an increase of 39.5% from the prior-year reported figure.

BJ’s Wholesale Club BJ has an Earnings ESP of +0.33% and a Zacks Rank #3 at present.

BJ’s Wholesale Club is set to report fourth-quarter fiscal 2021 results on Mar 3. The Zacks Consensus Estimate for BJ’s earnings is pegged at 75 cents per share, which suggests an increase of 7.1% from the prior-year reported figure.

Casey’s General Stores CASY has an Earnings ESP of +5.19% and a Zacks Rank #3 at present.

Casey’s is scheduled to release third-quarter fiscal 2022 results on Mar 8. The Zacks Consensus Estimate for CASY’s earnings is pegged at $1.43 per share, which suggests an increase of 37.5% from the prior-year reported figure.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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BJ's Wholesale Club Holdings, Inc. (BJ) : Free Stock Analysis Report

DICK'S Sporting Goods, Inc. (DKS) : Free Stock Analysis Report

Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report

Box, Inc. (BOX) : Free Stock Analysis Report

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