Online health insurance comparison site eHealth (NASDAQ:EHTH) will be reporting results. Here’s what to look for.
eHealth met analysts’ revenue expectations last quarter, reporting revenues of $58.41 million, down 9.7% year on year. It was a slower quarter for the company, with full-year EBITDA guidance missing analysts’ expectations.
Is eHealth a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting eHealth’s revenue to grow 14.2% year on year to $282.8 million, slowing from the 26.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $3.28 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. eHealth has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 11.2% on average.
Looking at eHealth’s peers in the online marketplace segment, some have already reported their Q4 results, giving us a hint as to what we can expect. MercadoLibre delivered year-on-year revenue growth of 37.4%, beating analysts’ expectations by 2.8%, and Shutterstock reported revenues up 15.2%, falling short of estimates by 1.5%. MercadoLibre traded up 6.7% following the results.
Read our full analysis of MercadoLibre’s results here and Shutterstock’s results here.
Inflation has progressed towards the Fed’s 2% goal as of late, leading to strong stock market performance. Recent rate cuts and the 2024 Presidential election's conclusion added further sparks to the market, and while some of the online marketplace stocks have shown solid performance, the group has generally underperformed, with share prices down 2% on average over the last month. eHealth is down 8.3% during the same time and is heading into earnings with an average analyst price target of $8.63 (compared to the current share price of $9.22).
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