Serve Robotics Inc. SERV is scheduled to report first-quarter 2026 results on May 7, after market close.
In the last reported quarter, the company delivered a loss per share of 46 cents, which was narrower than the Zacks Consensus Estimate of loss per share of 49 cents, but was broader than the loss of 23 cents per share a year ago. However, the quarterly revenues surpassed the consensus mark by 16.5% and grew year over year by 398.3%.
Serve Robotics’ earnings beat the consensus mark in two of the last four quarters and missed on the remaining two occasions, the average negative surprise being 18.1%.
How Are Estimates Placed for SERV Stock?
The Zacks Consensus Estimate for first-quarter loss per share has broadened over the past 60 days to 65 cents from 52 cents. The estimated figure indicates a whopping 306.3% year-over-year decline from the loss of 16 cents per share.
The consensus mark for revenues is pegged at $2.3 million, implying a 430.7% year-over-year increase.
Serve Robotics Inc. Price and EPS Surprise
Serve Robotics Inc. price-eps-surprise | Serve Robotics Inc. Quote
Factors to Note Ahead of Serve Robotics’ Q1 Results
Revenues
The first-quarter top-line performance of Serve Robotics is expected to have significantly increased year over year due to the scale of its fleet deployment across more than 20 United States cities. Moreover, the growing digital partnerships with big names like DoorDash and Uber Eats, alongside accretive acquisitions, are likely to have supported the growth during the quarter.
The Zacks Consensus Estimate of revenues from SERV’s Fleet services and Software services is pegged at $1.95 million and $0.27 million, up from $0.21 million and $0.23 million reported in the year-ago quarter.
The consensus mark for daily active robots (the average number of robots performing daily deliveries during the period) and daily supply hours (the average number of hours the company’s robots are ready to accept offers and perform daily deliveries during the period) is pegged at 1,074 and 12,778, respectively. The estimated figures indicate 1,371% and 1,872% year-over-year growth, respectively.
Earnings
The bottom line of SERV is expected to have plunged in the first quarter year over year because of the comparatively higher expenses incurred on research and development, operations, sales and marketing. The consistent investments are pulling down the near-term profitability of the company, even though they are expected to realize high benefits in the long term.
The company expects these expenses to continue for some time, making it well-positioned in the market in the upcoming terms.
What the Zacks Model Unveils for SERV
Our proven model does not conclusively predict an earnings beat for Serve Robotics this time around. 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. This is not the case here.
SERV’s Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
SERV’s Zacks Rank: The stock carries a Zacks Rank #4 (Sell) at present.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks With the Favorable Combination
Here are some stocks from the Zacks Computer and Technology sector, which per our model, have the right combination of elements to deliver an earnings beat this time around.
Applied Materials, Inc. AMAT currently has an Earnings ESP of +1.53% and a Zacks Rank of 2.
Applied Materials’ earnings beat estimates in each of the last four quarters, the average surprise being 5.2%. Its earnings for the second quarter of fiscal 2026 are expected to grow 11.7%.
Grindr Inc. GRND currently has an Earnings ESP of +12.00% and a Zacks Rank of 2.
With the average negative surprise of 2.4%, Grindr’s earnings beat estimates in one of the trailing four quarters, met on one occasion and missed on the remaining two instances. Grindr’s earnings for the first quarter of 2026 are expected to grow 44.4% compared with the prior year.
Cisco Systems, Inc. CSCO currently has an Earnings ESP of +1.92% and a Zacks Rank of 2.
With the average surprise of 2.9%, Cisco Systems’ earnings beat estimates in each of the last four quarters. Cisco Systems’ earnings for the third quarter of fiscal 2026 are expected to move up 8.3%.
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This article originally published on Zacks Investment Research (zacks.com).