Autodesk ADSK is scheduled to report its first-quarter fiscal 2026 results on May 22.

The company's fourth-quarter fiscal 2025 performance exceeded expectations with revenues growing 12% to $1.64 billion and non-GAAP operating margin reaching 37.1%. 

Management expects first-quarter fiscal 2026 revenues to be in the range of $1.60-$1.61 billion with non-GAAP EPS in the band of $2.14-$2.17, reflecting modest sequential growth. However, Autodesk's recently announced restructuring involving approximately 9% of its workforce (about 1,350 employees) could have created short-term disruption despite long-term benefits.

The Zacks Consensus Estimate for revenues is pegged at $1.61 billion, suggesting growth of 13.39% from the year-ago quarter.

The Zacks Consensus Estimate for the same is pegged at $2.14 per share, unchanged over the past 60 days. The figure indicates a 14.44% year-over-year rise.

In the last reported quarter, Autodesk delivered an earnings surprise of 7.51%. Markedly, the company’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 5.73%.

Autodesk, Inc. Price and EPS SurpriseAutodesk, Inc. Price and EPS Surprise

Autodesk, Inc. price-eps-surprise | Autodesk, Inc. Quote

Let us see how things are shaping up for the upcoming announcement.

Factors to Consider

Autodesk is set to report its first-quarter fiscal 2026 earnings soon, following a fourth quarter that delivered solid results amid ongoing business transformation. 

Several factors may influence fiscal first-quarter results. First, the ongoing optimization of Autodesk's go-to-market approach, particularly in marketing, customer success, and operations, represents both opportunity and risk. Second, macroeconomic uncertainty continues to impact customer spending decisions, potentially weighing on new business growth. Third, the company's CRO transition adds another variable to near-term performance.

On the positive side, Autodesk continues to see strong momentum in its Construction business, adding nearly 400 new logos last quarter with accelerating revenue growth. The company is also reallocating resources to prioritize cloud, platform, and AI initiatives, which could strengthen its competitive position over time.

While margin expansion remains promising (underlying non-GAAP operating margin expected to reach 39-40% for fiscal 2026), investors should weigh this against moderating top-line growth. Management has committed to providing more details about future margin expansion at an analyst day planned for the third quarter.

Given these mixed signals, investors might benefit from maintaining current positions while waiting for greater clarity on how effectively Autodesk navigates its organizational changes and executes its optimization strategy before increasing exposure to the stock.

Story Continues

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, which is not exactly the case here.

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

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

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:

Salesforce CRM is set to release quarterly numbers on May 28. It has an Earnings ESP of +0.57% and carries a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Nutanix NTNX is scheduled to report quarterly numbers on May 28. It has an Earnings ESP of +5.26% and currently carries a Zacks Rank of 3.

The Earnings ESP for Seanergy Maritime Holdings SHIP is +12.64%, and it has a Zacks Rank of 3 at present. The company is scheduled to report quarterly numbers on May 21.

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Nutanix (NTNX):Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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