Published on 16 May 2023 on Zacks via Yahoo Finance

Earnings Preview: Arco Platform Limited (ARCE) Q1 Earnings Expected to Decline

The market expects Arco Platform Limited (ARCE) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended March 2023. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.