PagerDuty (PD) Reports Earnings Tomorrow: What To Expect

Adam Hejl /
2024/05/29 3:02 am EDT

IT incident response platform PagerDuty (NYSE:PD) will be announcing earnings results tomorrow after market close. Here's what to expect.

PagerDuty met analysts' revenue expectations last quarter, reporting revenues of $111.1 million, up 10.1% year on year. It was a weaker quarter for the company, with management forecasting growth to slow and underwhelming revenue guidance for the next quarter. It lost 10 customers and ended up with a total of 15,039.

Is PagerDuty a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting PagerDuty's revenue to grow 8% year on year to $111.5 million, slowing from the 20.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.13 per share.

PagerDuty Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. PagerDuty has a history of exceeding Wall Street's expectations, beating revenue estimates every single time over the past two years by 1.7% on average.

Looking at PagerDuty's peers in the software development segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Datadog delivered year-on-year revenue growth of 26.9%, beating analysts' expectations by 3.3%, and Dynatrace reported revenues up 21.1%, topping estimates by 1.4%. Datadog traded down 7.7% following the results while Dynatrace was up 4.4%.

Read our full analysis of Datadog's results here and Dynatrace's results here.

Investors in the software development segment have had steady hands going into earnings, with share prices up 1.3% on average over the last month. PagerDuty is down 1.4% during the same time and is heading into earnings with an average analyst price target of $26.7 (compared to the current share price of $19.69).

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