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Opera (OPRA) to Report Q2 Earnings: What's in the Cards?

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Opera Limited (OPRA - Free Report) is scheduled to report its second-quarter 2024 earnings on Aug 22.

For the second quarter, OPRA expects revenues between $107 million and $109 million. The figure indicates 15% year-over-year growth at mid-point. The Zacks Consensus Estimate for revenues is pegged at $108.7 million, indicating a rise of 15.43% from the year-ago quarter’s reported value.

The consensus mark for earnings is pegged at 17 cents per share, unchanged in the past 30 days and indicates 13.33% year-over-year growth.

Let’s see how things have shaped up for the upcoming announcement.

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Opera Limited Sponsored ADR Price and EPS Surprise

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Factors to Note

OPRA’s second-quarter 2024 performance is likely to have benefited from the strong monetization of its browser. Its continued focus on attracting high average revenue per user users, particularly through its successful Opera GX browser, a browser tailored for gamers and the continuous rollout of new AI features, is expected to have driven top-line growth.

One of the latest features for GX browsers, GX mods enables the users to get creative and transform all the aspects of the browser according to users’ choice from a wide range of mods. This feature is expected to have played a key role in the uptick of active user base and revenues in the to-be-reported quarter.

Increasing demand for Opera Ads across e-commerce, gaming and other high-intent user interaction markets owing to its targeting-based technical abilities for advertisers, are expected to have aided OPRA’s performance during the second quarter.

Its increasing investments in AI technology to enhance user experience and monetization opportunities are likely to have been a tailwind. Its integration of Aria, the browser AI, into the browsing experience to provide users with more efficient gains and personalized content, is likely to have been a positive.

Growing investments for the integration and development of iOS for Apple users in the EU are expected to have favored in growth of revenues and iOS user base in the EU in the upcoming quarter.

The launch of a new data center in Iceland, focused on AI infrastructure, is expected to have optimized costs and support the development of AI-related services in the to-be-reported quarter.

What Our Model Says

Per the Zacks model, 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 is not the case here.

Opera Limited has an Earnings ESP of 0.00% and currently has a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks to Consider

Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:

nCino (NCNO - Free Report) has an Earnings ESP of +2.63% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

nCino shares have returned 1.8% year to date. nCino is set to report its second-quarter fiscal 2025 results on Aug 27.

Affirm (AFRM - Free Report) has an Earnings ESP of +19.64% and a Zacks Rank of #2 at present.

AFRM shares have plunged 42.1% year to date. AFRM is set to report its fourth-quarter fiscal 2024 results on Aug 28.

lululemon athletica (LULU - Free Report) has an Earnings ESP of +0.66% and a Zacks Rank of #3 at present.

LULU shares have declined 49.6% year to date. LULU is set to report its second-quarter 2024 results on Aug 29.

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

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