Many companies will be reporting earnings in the coming weeks. While reports from megacap stocks like Netflix, Apple, and Microsoft will see lots of coverage in the media following their quarterly updates this month, three smaller and faster-growing companies will be worth watching as well. These companies are Tesla (NASDAQ: TSLA), Atlassian (NASDAQ: TEAM), and Zendesk (NYSE: ZEN). Each of these businesses boasts soaring revenue.
Given their premium valuations, these growth stocks could see their shares make big movies in either direction after their earnings releases. Ahead of their reports, here's a quick look at some key metrics to watch.
Model X. Image source: Tesla.
Electric-car maker Tesla has already revealed its second-quarter deliveries. The automaker delivered a record 77,550 Model 3 units and 17,650 combined Model S and X units. This put total deliveries at 95,200, up 134% year over year. While the record figure was higher than analysts were expecting, the company's financial performance during the quarter is still unclear.
Analyst estimates for Tesla's non-GAAP (adjusted) earnings per share range from a loss of $1.52 to a profit of $0.50. For what it's worth, Tesla management's guidance provided in its first-quarter shareholder letter didn't call for the company to return to profitability until Q3. The consensus analyst estimate for an adjusted loss of $0.52 per share, therefore, is a good barometer for what to expect from the key metric.
Tesla is scheduled to report its second-quarter results after market close on July 24.
Shareholders of productivity software provider Atlassian will likely be eyeing the company's revenue growth rate. Though the company's 38% year-over-year revenue growth in its fiscal third quarter was strong, it was a slight deceleration from 39.3% revenue growth in fiscal Q2.
Management guided for its fiscal fourth-quarter revenue to be between $329 to $331 million, implying about 35% year-over-year growth. Analysts, on average, expect Atlassian's revenue to come in at the high end of this guidance range.
Atlassian will report its fiscal fourth-quarter results after market close on July 25.
Online customer service platform Zendesk kicked off fiscal 2019 with robust revenue growth. Its top line surged 40% year over year, fueled by broad-based strength, including healthy growth from small and mid-sized businesses and more traction with large customers.
Investors should check to see if Zendesk is still seeing outsize growth from large customers. Customers with 100 or more Zendesk Support agents represented 40% of annual recurring revenue in Q1, up from 38% in the year-ago period and 25% in the first quarter of 2015.
Zendesk will report its second-quarter results after market close on July 30.
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Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool's board of directors. Daniel Sparks owns shares of Tesla. The Motley Fool owns shares of and recommends Apple, Atlassian, Microsoft, Netflix, Tesla, and Zendesk. The Motley Fool has the following options: long January 2020 $150 calls on Apple and short January 2020 $155 calls on Apple. The Motley Fool has a disclosure policy.