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Onterris delivered a challenging Q2, with management citing historically low environmental emergency response activity and reduced pass-through revenue as the main drivers behind the revenue shortfall. CEO Vijay Manthripragada described the quarter as an "anomaly," noting that the lack of major emergency events led to a rare low point for this revenue stream. Additionally, temporary regulatory waivers in air testing services and shifting project mix within the Consulting and Treatment segment contributed to the weaker performance. Management acknowledged the impact, with CFO Allan Dicks stating, "We are disappointed with the slow start to the year due primarily to lower emergency response revenue, but we are encouraged by the operating efficiency we're driving and the resulting margin benefit." Is now the time to buy ONT? Find out in our full research report (it’s free). Revenue: $186.7 million vs analyst estimates of $199.3 million (20.4% year-on-year decline, 6.3% miss) Adjusted EPS: $0.51 vs analyst estimates of $0.38 (33.2% beat) Adjusted EBITDA: $31.88 million vs analyst estimates of $32.45 million (17.1% margin, 1.8% miss) EBITDA guidance for the full year is $118.5 million at the midpoint, below analyst estimates of $126.1 million Operating Margin: 3.6%, down from 6.7% in the same quarter last year Market Capitalization: $576.3 million While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Timothy Mulrooney (William Blair) asked how the reduction in emergency response and pass-through revenue affected core business growth, and CEO Vijay Manthripragada clarified that while headline revenue was down, underlying operating performance remained strong due to project mix. Timothy Mulrooney (William Blair) probed the margin impact of lower pass-through revenue, and CFO Allan Dicks explained that pass-through revenue, while lower margin, does contribute some profit and its decline was offset by cost optimization. Wade Suki (Capital One) inquired about the nature of the “other revenue” decline, and Manthripragada highlighted the impact of temporary regulatory waivers in air testing, adding that underlying end market demand remained robust. William Grippin (Barclays) asked whether competitive dynamics influenced the drop in emergency response revenue. Manthripragada stated that the decline was due to a lack of major environmental events, not competitive losses. Wade Suki (Capital One) questioned the company’s acquisition plans amid the strategic review, with Manthripragada confirming that Onterris intends to proceed with bolt-on M&A consistent with historical parameters, as long as leverage and cash flow targets are maintained. In the coming quarters, our analysts will be focused on (1) whether emergency response activity returns to historical norms, providing an uplift to revenue; (2) the pace at which regulatory waivers are lifted and deferred air testing work is realized; and (3) execution of the company’s bolt-on acquisition strategy in both testing and consulting. The outcome of the Board’s ongoing strategic review will also be a central area of attention. Onterris currently trades at $15.87, down from $22.63 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

Interested in Montrose Environmental Group, Inc.? Here are five stocks we like better. Second-quarter revenue fell to $186.7 million from $234.6 million, largely because the prior-year period included $53.6 million from a major environmental emergency-response event. Cost optimization nevertheless increased adjusted EBITDA margin to 17.1% from 16.9%. Onterris lowered its 2026 revenue outlook to $740 million–$790 million and adjusted EBITDA outlook to $117 million–$120 million, citing weaker pass-through and emergency-response revenue plus regulatory waivers delaying air-testing work. Management still expects record adjusted EBITDA and materially stronger second-half cash flow. The board has begun a comprehensive strategic review that may include acquisitions, other value-creating transactions or continued standalone execution; no decision or timetable has been established. The Nasdaq's Historic Rally Doesn't Mean the Risk Is Gone Montrose Environmental Group (NYSE:ONT), which rebranded as Onterris Inc. on April 21, reported lower second-quarter revenue amid historically low environmental emergency-response activity, while cost optimization helped lift adjusted EBITDA margins and supported a narrower reduction in its full-year earnings outlook. Onterris reported second-quarter revenue of $186.7 million, down $47.9 million from the prior-year period. Adjusted EBITDA totaled $31.9 million, compared with $39.6 million a year earlier. However, adjusted EBITDA margin increased to 17.1% from 16.9%, which President and Chief Executive Officer Vijay Manthripragada attributed to ongoing cost optimization. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Is AI Really Eating Software? A Wall Street Veteran Says No—Here’s Why The company noted that the second quarter of 2025 included approximately $53.6 million in revenue from a single environmental emergency-response event and subsequent recovery work. Excluding that event, Manthripragada said second-quarter 2026 revenue grew. Onterris reduced its full-year revenue outlook to a range of $740 million to $790 million. The revised forecast reflects lower expected pass-through revenue, lower emergency-response revenue and other revenue impacts, including temporary regulatory waivers affecting certain air-testing services. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High 3 Chip Stocks Approaching Buy Points Chief Financial Officer Allan Dicks said the revised revenue outlook incorporates: $35 million to $55 million of lower pass-through revenue; $35 million to $45 million of lower emergency-response revenue; and $15 million to $25 million of other lower revenue. At the midpoint, the company said lower pass-through revenue is expected to reduce EBITDA by approximately $4.5 million, while reduced higher-margin emergency-response activity is expected to lower EBITDA by about $10 million. Those impacts are partly offset by a net $5.5 million benefit from cost optimization and operating efficiency. → No Hangover: Revisiting Microsoft One Week After Earnings Onterris now expects full-year adjusted EBITDA of $117 million to $120 million, a $9 million reduction at the midpoint from its prior outlook. The company said every outcome within the new range would represent a record adjusted EBITDA result. At the midpoint, the outlook implies an adjusted EBITDA margin of 15.5%, approximately 150 basis points above the prior year and 50 basis points above the company’s original 2026 guidance. For the third quarter, Onterris expects revenue of $190 million to $210 million and an adjusted EBITDA margin of 17% to 18% at the midpoint of that revenue range. Dicks said third-quarter revenue is expected to decline year over year because the 2025 period included significant recovery revenue tied to the prior-year environmental event, while third-quarter EBITDA and margin are expected to increase. Consulting & Treatment revenue was $125.6 million in the second quarter, down from $171.7 million a year earlier. The decline included $37.7 million less environmental emergency-response revenue and $11.2 million less recovery-services revenue, primarily related to the prior-year event. Segment adjusted EBITDA margin nevertheless increased to 22.2% from 21.9%, supported by favorable project mix and improved operating performance. Measurement & Analysis revenue declined to $61.1 million from $62.8 million. Lower field-services revenue was partly offset by higher laboratory-testing revenue. The segment’s adjusted EBITDA margin fell to 26.2% from 29.1%, which Dicks said reflected lower operating leverage on the reduced revenue base, though he characterized margins as remaining strong. Management said the lower outlook does not reflect a change in underlying end-market demand or heightened competitive pressure. Manthripragada said the company has not seen major emergency events this year, calling the current level of activity a historically low point in the cycle rather than a competitive issue. He also said temporary federal and state regulatory waivers have delayed select air-testing work. The rules remain in place, according to Manthripragada, but some clients received waivers that have postponed testing activity. The company’s outlook assumes some continuing waivers during the second half. Onterris said it remains confident in its longer-term high-single-digit organic-growth framework, citing a predictable testing business, known Consulting & Treatment projects and larger projects that have begun work. Management said certain projects have started more favorably than expected and are longer-duration engagements with blue-chip clients. For the first six months of 2026, Onterris used $5.5 million in operating cash flow, compared with generating $27.4 million in the prior-year period. The change reflected lower earnings before noncash items, increased working-capital usage and $27.7 million in first-quarter annual incentive payments related to 2025 performance. The company expects operating cash flow to improve materially in the second half, forecasting $70 million to $80 million of operating cash flow and maintaining its expectation for operating cash conversion equal to roughly 60% of full-year EBITDA. Dicks said cash generation should be slightly weighted toward the fourth quarter and that days sales outstanding had declined in the first half. At June 30, Onterris reported a leverage ratio of 3.2 times under its 2025 credit facility and total available liquidity of $160.8 million. The company expects year-end leverage of about 2.5 times, absent acquisitions. Year to date, it repurchased 1.6 million shares for $30 million and paid $10.8 million in contingent consideration. Management said it expects to resume disciplined bolt-on acquisitions in the second half, subject to its valuation, leverage and cash-flow parameters. Manthripragada said the company is seeing opportunities in testing as well as Consulting & Treatment, and said its historical acquisition multiples have averaged in the mid- to high-single-digit range of EBITDA. Separately, Onterris said its board is conducting a comprehensive review of the company’s business, portfolio, capital allocation, long-range strategic plan and strategic alternatives. The review, supported by outside financial and legal advisers, may consider acquisition interest in the company, other value-creating transactions, acquisition opportunities, operational initiatives and continued execution of the standalone plan. Manthripragada said the board has not reached a decision on any particular course of action and has not established a timetable. He added that there is no assurance the review will result in a transaction or other outcome. While the review proceeds, management said it plans to continue executing its existing strategy, including cross-selling initiatives, operational improvements and long-term growth efforts. Montrose Environmental Group (NYSE: MEG) is a global provider of environmental technical and monitoring services, delivering solutions for site assessment, remediation, compliance and long-term environmental stewardship. The company serves a broad range of industries, including energy, manufacturing, chemicals, mining and government agencies, supporting clients with risk management strategies, regulatory permitting and environmental permitting. Montrose's core offerings encompass environmental consulting, engineering design, field sampling and laboratory analysis, plus innovative digital monitoring platforms. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Montrose Environmental Group Q2 Earnings Call Highlights" was originally published by MarketBeat. 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This article first appeared on GuruFocus. Release Date: August 05, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Consolidated adjusted EBITDA margin improved to 17.1% in Q2 2026, up from 16.9% in the prior year quarter, reflecting successful cost optimization. The company raised its full-year EBITDA margin guidance to 15.5% at the midpoint, representing approximately 150 basis points of expansion compared to last year. Despite lower revenue, full-year operating cash flow expectations remain largely unchanged, with 70-80 million expected in the second half of 2026. The consulting and treatment segment's adjusted EBITDA margin improved to 22.2% from 21.9%, driven by favorable project mix and improved operating performance. The board is conducting a comprehensive review of strategic alternatives, which could unlock shareholder value, and the company continues to see strong underlying demand and a robust pipeline. Q2 2026 revenue of 186.7 million was below expectations, primarily due to historically low environmental emergency response activity. Full-year revenue guidance was lowered to 740-790 million, reflecting a 45 million reduction in pass-through revenue and a 40 million reduction in emergency response revenue. The measurement and analysis segment's adjusted EBITDA margin declined to 26.2% from 29.1% due to lower operating leverage on reduced revenue. The company faces temporary regulatory waivers for air testing services, which are delaying work and impacting revenue expectations. Net cash used in operating activities was 5.5 million in the first half of 2026, compared to net cash provided of 27.4 million in the prior year period, due to lower earnings and higher working capital. Warning! GuruFocus has detected 7 Warning Signs with ONT. Is ONT fairly valued? Test your thesis with our free DCF calculator. Q: Can you walk us through what changed over the last few months that caused you to lower the outlook on core revenue, and is the math correct that core revenue is down low single-digits this year? A: Vijay (President and CEO): The math is correct, but it's driven by two primary dynamics: lower emergency response revenue and a reduction in pass-through revenue. Pass-through revenue has historically been about 25% of total revenue but is now below 20%. This revenue is largely margin-neutral, which is why EBITDA margins are expanding. If you exclude pass-through revenue and look at core operating performance, the underlying trajectory is actually quite strong. Q: Can you talk about the nature of the pass-through work and why there's a $4.5 million reduction in EBITDA if pass-through revenue is by definition zero margin? A: Alan (CFO): There is typically a small markup on pass-through revenues, ranging from 3-5% up to 15% in some cases, averaging around 10%. The reduction is primarily related to project mix, especially in recovery services which rely heavily on subcontractors. We are also focusing increasingly on margin, so where we can win work without subcontracting, we take that path to optimize margin outlook. Q: Can you elaborate on the "other revenue" component of the guidance reduction and whether anything in the market surprised you during the quarter? A: Vijay (President and CEO): The "other revenue" impact is primarily related to our air testing business. While momentum has picked up after weather-related impacts in Q1, it's been offset by temporary regulatory waivers granted by federal and state regulators for select air testing services. The rules remain promulgated, but the work is being delayed. Despite the optics, the underlying structural demand cycles remain the same and the market remains quite strong. Q: The initial 2026 guide assumed $50-70 million in emergency response revenue. Does the new guidance imply around $10-30 million now, and are there competitive dynamics at play? A: Vijay (President and CEO): You're right, it's down $20-30 million. This is not a competitive dynamicthere just haven't been any major environmental events of note. It's a historically low point in the cycle, but our team remains the best in the industry and we are not losing work to competitors. Q: What gives you confidence in the back-half acceleration and the longer-term high single-digit organic growth outlook? A: Vijay (President and CEO): Our high single-digit growth outlook is unchanged due to structural drivers. Our confidence in the back half is anchored on our predictable testing business and known consulting and treatment work. We've effectively removed the uncertainty of emergency response revenue from our outlook. The larger projects we discussed in May have started, some more favorably than anticipated, and our pipeline and sales rhythm continue to gain momentum. Q: Do you expect operating cash flow in the back half to be weighted more towards the fourth quarter? A: Alan (CFO): It will be slightly more weighted towards Q4, but both Q3 and Q4 will be strong. We generated a similar amount in the prior year. Our DSOs are down through the first half and we expect them to continue declining, so we feel really good about cash generation. Q: Can you speak to acquisitionswhat you're seeing, size criteria, and areas of opportunity? A: Vijay (President and CEO): Our strategic thesis is unchanged. We anticipate restarting acquisitions in the back half of this year in a measured manner with small bolt-on acquisitions. We're seeing a lot of opportunity in the testing space and attractive opportunities on the consulting and treatment side. We'll operate within our leverage and cash flow parameters, and we don't expect to deviate from our historical mid-to-high single-digit EBITDA multiples. Q: As the strategic review is ongoing, are buybacks and capital allocation consistent with how you've articulated the plan in the past? A: Vijay (President and CEO): Yes, it is. The board is undergoing a thorough and fulsome review with no preconceived notions or predetermined outcomes. As a result, we are staying the course and executing our standalone plan, which we believe is still very strong. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Updates Date and Time of Conference Call to Today, Wednesday, August 5, at 5:30 p.m. Eastern Time Second Quarter 2026 Highlights (comparisons to second quarter 2025) Revenue of $186.7 million, compared to $234.5 million, primarily due to historically low environmental emergency response and related recovery services Net income of $1.4 million, or $0.04 per diluted share attributable to common stockholders (EPS), compared to $18.4 million, or $0.42 EPS Adjusted Net Income1 of $19.6 million and Diluted Adjusted Net Income per share1 (Adj EPS1) of $0.51, compared to $27.4 million and $0.60 Adj EPS1, respectively Consolidated Adjusted EBITDA1 as a percentage of revenue of 17.1% (Consolidated Adjusted EBITDA1 of $31.9 million), compared to 16.9% (Consolidated Adjusted EBITDA1 of $39.6 million) Repurchased approximately 1.6 million shares of common stock for $30.0 million through the first half of the year Full-Year 2026 Guidance Updated, Provides Third Quarter Outlook Updated 2026 Consolidated Adjusted EBITDA1 guidance of $117.0 million to $120.0 million, from $125.0 million to $130.0 million primarily due to lower environmental emergency response and related recovery service revenues. This outlook excludes any benefit from future acquisitions or environmental emergencies which have not yet occurred. Guidance expectations imply 2026 Consolidated Adjusted EBITDA1 as a percentage of revenue of 15.5% at the midpoints, which represents approximately 150 basis points of expansion compared to 2025 and 50 basis points above the Company's original guidance, given successful ongoing cost optimization. Despite lower revenue, 2026 operating cash flow expectations are largely unchanged. The Company expects to convert 60.0% of full-year Consolidated Adjusted EBITDA1 into operating cash flow and generate $70.0 million to $80.0 million in operating cash flow in the second half of 2026. Updated 2026 revenue guidance of $740.0 million to $790.0 million, from $840.0 million to $900.0 million. Third quarter 2026 revenue is expected to be $190.0 million to $210.0 million, with Consolidated Adjusted EBITDA1 as a percentage of revenue expected to be 17.0% to 18.0% at the midpoint of the revenue range. Onterris expects year-end 2026 leverage ratio of approximately 2.5x, consistent with prior year and inclusive of $30.0 million of share repurchases and $10.8 million of contingent consideration payments in the first half of 2026. LITTLE ROCK, Ark., August 05, 2026--(BUSINESS WIRE)--Onterris, Inc. (the "Company," "Onterris" or "ONT") (NYSE: ONT), a global environmental solutions company solving complex challenges for planet and progress, today announced results for the second quarter ended June 30, 2026. Onterris President and Chief Executive Officer, Vijay Manthripragada, commented, "While environmental emergency response activity and related services remain significantly below historical levels, as reflected in our updated 2026 revenue outlook, the underlying business continues to grow. We expect Consolidated Adjusted EBITDA1 growth in 2026 and approximately 150 basis points of margin expansion compared to 2025. Underlying growth in the business and improved profitability explain why full year cash flow expectations are largely unchanged from the start of the year. These expectations are grounded in our relatively predictable testing business and known consulting and treatment projects." Mr. Manthripragada continued, "We remain committed to achieving our long-term goals and are continuing to execute against the priorities within our control, including serving our clients, maintaining cost discipline and converting a greater share of our revenue into earnings and cash flow. That work is strengthening Onterris and supporting our objective of enhancing value for stockholders." Second Quarter 2026 Results Revenue in the second quarter of 2026 was $186.7 million compared to $234.5 million in the prior-year quarter, a decrease of $47.9 million. The decrease was driven by lower Consulting and Treatment segment revenue of $46.2 million, primarily due to historically low environmental emergency response and related recovery service revenues in the current-year quarter compared to an abnormally high prior-year quarter driven by a single environmental event. Environmental emergency response revenue declined by $37.7 million. Measurement and Analysis segment revenue was lower by $1.7 million; despite this decrease there is strong client demand and acceleration into the second half of 2026. Income from operations in the second quarter of 2026 was $6.5 million, compared to $14.9 million in the prior-year quarter. The decrease primarily reflected lower revenue, partially offset by improved project mix and continued cost discipline. Net income in the second quarter of 2026 was $1.4 million, or $0.04 EPS, compared to net income of $18.4 million, or $0.42 EPS, in the prior-year quarter. The decrease in net income primarily reflected lower operating income and lower fair-value gain on financial instruments, partially offset by lower income tax expense. The $0.38 comparative period decline in EPS was due to lower net income, partially offset by the elimination of the Series A-2 dividend following full redemption of the shares on July 1, 2025, and a lower diluted weighted-average share count. Adjusted Net Income1 and Adj EPS1 in the second quarter of 2026 were $19.6 million and $0.51, respectively, compared to $27.4 million and $0.60, respectively, in the prior-year quarter. Adjusted Net Income1 decreased primarily due to lower revenues in the current period. The decrease in Adj EPS1 in the current period was partially offset by the elimination of the Series A-2 dividend and a lower fully diluted weighted-average share count. Consolidated Adjusted EBITDA1 in the second quarter of 2026 was $31.9 million, or 17.1% of revenue, compared to $39.6 million, or 16.9% of revenue, in the prior-year quarter. The decrease in Consolidated Adjusted EBITDA1 was primarily due to historically low emergency response and related recovery service revenues. Consolidated Adjusted EBITDA1 as a percentage of revenue improved due to successful ongoing cost optimization. Cash Flow, Liquidity and Capital Resources 2026 operating cash flow expectations are largely unchanged. Onterris expects to convert 60.0% of full-year Consolidated Adjusted EBITDA1 into operating cash flow and generate $70.0 million to $80.0 million in operating cash flow in the second half of 2026. Given consistent annual cash flow, Onterris expects a year-end 2026 leverage ratio of approximately 2.5x, consistent with prior year and inclusive of $30.0 million of share repurchases and $10.8 million of contingent consideration payments in the first half of 2026. Net cash used in operating activities for the six months ended June 30, 2026, was $5.5 million, compared to net cash provided by operating activities of $27.4 million in the prior-year period. This $32.9 million decrease primarily reflected lower earnings before non-cash items and higher seasonal working capital usage, including the payment of $27.7 million in first quarter 2026 for accrued annual 2025 bonuses due to financial outperformance, compared to $11.7 million paid for bonuses in the prior year. As of June 30, 2026, Onterris reported a leverage ratio under the 2025 Credit Facility of 3.2x, inclusive of $30.0 million of share repurchases and $10.8 million of contingent consideration payments in the first half of 2026. Total available liquidity was $160.8 million, including $12.7 million of cash and $148.1 million of availability on its revolving line of credit. Board-led Strategic Review Process The Onterris Board regularly evaluates opportunities to enhance stockholder value. Today, the Company announced a comprehensive Board-led strategic review, with the assistance of outside financial and legal advisors, of the Company’s business, portfolio, capital allocation, long-range strategic plan, and strategic alternatives. These alternatives include, among others, evaluating acquisition interest in the Company and other value-creating transactions (including acquisition opportunities), as well as evaluating operational initiatives and the continued execution of its standalone plan. The Board has not set a timetable for the conclusion of its review, and there can be no assurance that the review will result in any transaction or other outcome. Onterris does not intend to comment further regarding the review unless and until it determines that further disclosure is appropriate or necessary. Limited-Duration Rights Plan The Board also approved the adoption of a limited-duration stockholder rights plan (the "Rights Plan") in response to significant and undisclosed accumulation of Onterris shares and derivative securities. The Rights Plan is intended to protect the best interests of all Onterris stockholders and the value of their investment, including by safeguarding the integrity of the Board-led strategic review process announced above. The Rights Plan is designed to reduce the likelihood that any person or group prevents Onterris stockholders from realizing the long-term value of their investment by acquiring negative or actual control without appropriately compensating the Company’s stockholders. It is also intended to afford the Board sufficient time and opportunity to make informed judgments that are in the best interests of the Company and all Onterris stockholders. The Rights Plan is effective immediately and has a one-year duration, expiring on August 4, 2027. The Board may consider an earlier termination of the Rights Plan as circumstances warrant. Further details about the Rights Plan will be contained in a Form 8-K to be filed by the Company with the Securities and Exchange Commission. Webcast and Conference Call Onterris has updated the time of its previously announced earnings webcast and conference call to today, Wednesday, August 5, 2026, at 5:30 p.m. Eastern Time. A question-and-answer session will follow the prepared remarks. A live webcast of the conference call will be available in the Investors section of the Onterris website at Onterris.com. Alternatively, to participate in the live call, dial (800) 717-1738 (toll-free in North America) or +1 (646) 307-1865 (international) approximately ten minutes before the scheduled start. When prompted, please provide the Conference ID: 65103 to join the Onterris Second Quarter 2026 Earnings Conference Call. A telephonic replay will be available from 9:00 p.m. ET on the day of the call through Wednesday, August 19, 2026. To listen to the archived call, dial (412) 317-6671 and enter replay PIN 1165103. The webcast replay will be available on the Onterris website. About Onterris Onterris is a global environmental solutions company partnering with organizations to solve complex challenges where environmental pressures, regulatory expectations and operational risks intersect. Guided by our mission to advance the way of life without compromising the integrity of our environment, we believe environmental responsibility and human progress are fundamentally connected. Our scientists, engineers, field teams and consultants apply systems thinking that unites science, data and practical expertise to deliver solutions that strengthen our clients’ resilience, mitigate risk and help protect the air, water and soil that sustain communities, while uncovering responsible paths forward for planet and progress. For more information, visit Onterris.com. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by the use of words such as "intend," "expect", and "may", and other similar expressions that predict or indicate future events or that are not statements of historical matters. These forward-looking statements include those regarding Full-Year 2026 Guidance and Third Quarter Outlook and the benefits of the Board-led strategic review process and the Rights Plan. Forward-looking statements are based on current information available at the time the statements are made and on management’s reasonable belief or expectations with respect to future events, and are subject to risks and uncertainties, many of which are beyond the Company’s control, that could cause actual performance or results to differ materially from the belief or expectations expressed in or suggested by the forward-looking statements. Factors or events that could cause actual results to differ may also arise from time to time, and the Company cannot predict all of them. These factors and events include (i) general global economic, business and other conditions, including inflationary and interest rate pressures and tariffs and other trade tensions, the cyclical nature of our industry and the significant fluctuations in events that impact our business; (ii) the parts of our business that depend on difficult to predict natural or manmade events and the fluctuations in our revenue and customer concentration as a result thereof; (iii) our ability to adapt to changing technology, industry standards or regulatory requirements, including emerging environmental, social and governance requirements; (iv) the highly competitive nature of our business; (v) significant environmental governmental regulation or de-regulation; (vi) our ability to execute on our acquisition strategy and successfully integrate and realize benefits from our acquisitions; (vii) our ability to maintain and expand our client base; (viii) our ability to attract and retain qualified managerial and skilled technical personnel; (ix) safety-related issues; (x) any failure in or breach of our networks and systems or other forms of cyber-attack; (xi) our ability to promote and develop our new brand; (xii) our ability to maintain necessary accreditations and other authorizations in varying jurisdictions; (xiii) allegations regarding compliance with professional standards, duties and statutory obligations and our ability to provide accurate results; (xiv) the lack of formal long-term agreements with many of our clients; (xv) government clients and contracts; (xvi) our ability to maintain our prices and manage costs; (xvii) our ability to protect our intellectual property or claims that we infringe on the intellectual property rights of others; (xviii) laws and regulations regarding handling of confidential information; (xix) our international operations; (xx) product related risks; (xxi) whether the objectives of the strategic review process will be achieved; (xxii) the terms, structure, benefits and costs of any strategic transaction; the timing of any transaction and whether any transaction will be consummated at all; (xxiii) the risk that the board review and its announcement could have an adverse effect on the our ability to retain and hire key personnel and maintain relationships with partners, suppliers, employees, shareholders and other business relationships and on its operating results and business generally; (xxiv) the risk the board review could divert the attention and time of our management; (xxv) the risk of any unexpected costs or expenses resulting from the review; and (xxvi) the risk of any litigation relating to the review. Forward-looking statements speak only as of the date on which they are made, and the Company undertakes no obligation to update any forward-looking statement to reflect future events, developments or otherwise, except as may be required by applicable law. Investors are referred to the Company’s filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2025, as supplemented by its Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, for additional information regarding the risks and uncertainties that may cause actual results to differ materially from those expressed in any forward-looking statement. Non-GAAP Financial Information In addition to our results under GAAP, in this release we also present certain other supplemental financial measures of financial performance that are not required by, or presented in accordance with, GAAP, including, Consolidated Adjusted EBITDA, Adjusted Net Income and Basic and Diluted Adj EPS. We calculate Consolidated Adjusted EBITDA as net income (loss) before interest expense, income tax expense (benefit) and depreciation and amortization, adjusted for the impact of certain other items, including stock-based compensation expense and acquisition-related costs, as set forth in greater detail in the table below. We calculate Adjusted Net Income as net income (loss) before amortization of intangible assets, stock-based compensation expense, fair value changes to financial instruments and contingent earnouts, discontinued specialty lab, and other gain or losses, as set forth in greater detail in the table below. Basic Adj EPS represents Adjusted Net Income attributable to stockholders divided by the weighted average number of shares of common stock outstanding during the applicable period. Diluted Adj EPS represents Adjusted Net Income attributable to stockholders divided by the fully diluted number of shares of common stock outstanding during the applicable period. Free cash flow is defined as the sum of net cash provided by (used in) operating activities and net cash used in investing activities, adjusted for the impact of certain other items, including contingent consideration and other purchase price true ups, minority investments, cash paid for acquisitions, net of cash acquired, and dividend payments to the Series A-2 holders. Consolidated Adjusted EBITDA is one of the primary metrics used by management to evaluate our financial performance and compare it to that of our peers, evaluate the effectiveness of our business strategies, make budgeting and capital allocation decisions and in connection with our executive incentive compensation. Adjusted Net Income and Basic and Diluted Adj EPS are useful metrics to evaluate ongoing business performance after interest and tax. These measures are also frequently used by analysts, investors and other interested parties to evaluate companies in our industry. Further, we believe they are helpful in highlighting trends in our operating results because they allow for more consistent comparisons of financial performance between periods by excluding gains and losses that are non-operational in nature or outside the control of management, and, in the case of Consolidated Adjusted EBITDA, by excluding items that may differ significantly depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which we operate and capital investments. Free cash flow is used by management as one of the means by which it assesses cash generation in excess of ongoing capital needs of the business. These non-GAAP measures do, however, have certain limitations and should not be considered as an alternative to net income (loss), earnings (loss) per share or any other performance measure derived in accordance with GAAP. Our presentation of Consolidated Adjusted EBITDA, Adjusted Net Income and Basic and Diluted Adj EPS should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items for which we may make adjustments. In addition, Consolidated Adjusted EBITDA, Adjusted Net Income and Basic and Diluted Adj EPS may not be comparable to similarly titled measures used by other companies in our industry or across different industries, and other companies may not present these or similar measures. Management compensates for these limitations by using these measures as supplemental financial metrics and in conjunction with our results prepared in accordance with GAAP. We encourage investors and others to review our financial information in its entirety, not to rely on any single measure and to view Consolidated Adjusted EBITDA, Adjusted Net Income and Basic and Diluted Adj EPS in conjunction with the related GAAP measures. Free cash flow has certain limitations and should not be considered as an alternative to or in isolation from net cash provided by (used in) operating activities or any other measure of cash flow generation calculated in accordance with GAAP. In evaluating Free cash flow, you should be aware that Free cash flow does not represent residual cash flow available for discretionary expenditures. Additionally, we have provided estimates regarding Consolidated Adjusted EBITDA for 2026. These projections account for estimates of revenue, operating margins and corporate and other costs. However, we cannot reconcile our projection of Consolidated Adjusted EBITDA to net income (loss), the most directly comparable GAAP measure, without unreasonable efforts because of the unpredictable or unknown nature of certain significant items excluded from Consolidated Adjusted EBITDA and the resulting difficulty in quantifying the amounts thereof that are necessary to estimate net income (loss). Specifically, we are unable to estimate for the future impact of certain items, including income tax (expense) benefit, stock-based compensation expense, and fair value changes. We expect the variability of these items could have a significant impact on our reported GAAP financial results. In this release we also reference our organic growth. We define organic growth as the change in revenues excluding revenues from i) our environmental emergency response business, ii) acquisitions for the first twelve months following the date of acquisition, and iii) businesses held for sale, disposed of or discontinued. Management uses organic growth as one of the means by which it assesses our results of operations. Organic growth is not, however, a measure of revenue growth calculated in accordance with U.S. generally accepted accounting principles, or GAAP, and should be considered in conjunction with revenue growth calculated in accordance with GAAP. We have grown organically over the long term and expect to continue to do so. In a given reporting period, when we refer to revenue changes driven by acquisitions, we are referring to the revenue contribution from any acquisition from its closing date through the first 12 months of that acquisition, at which point any subsequent contribution therefrom would be organic. View source version on businesswire.com: https://www.businesswire.com/news/home/20260805017444/en/ Contacts Investor Relations Adrianne D. GriffinSenior Vice President, Investor Relations & Treasury(949) [email protected] Media Relations Lauren DowlingSenior Vice President, Marketing & Communications(214) [email protected]

Onterris (ONT) came out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.39 per share. This compares to earnings of $0.63 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +30.77%. A quarter ago, it was expected that this company would post earnings of $0.14 per share when it actually produced earnings of $0.12, delivering a surprise of -14.29%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Onterris, which belongs to the Zacks Business - Information Services industry, posted revenues of $186.66 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 6.1%. This compares to year-ago revenues of $234.54 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Onterris shares have lost about 8% since the beginning of the year versus the S&P 500's gain of 13%. While Onterris has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Onterris was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.48 on $247.14 million in revenues for the coming quarter and $1.53 on $852.18 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Business - Information Services is currently in the top 24% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Business Services sector, Full Truck Alliance Co. Ltd. Sponsored ADR (YMM), has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +5.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Full Truck Alliance Co. Ltd. Sponsored ADR's revenues are expected to be $458.67 million, up 1.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Onterris, Inc. (ONT) : Free Stock Analysis Report Full Truck Alliance Co. Ltd. Sponsored ADR (YMM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

TransUnion (TRU) came out with quarterly earnings of $1.23 per share, beating the Zacks Consensus Estimate of $1.14 per share. This compares to earnings of $1.08 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +7.90%. A quarter ago, it was expected that this credit reporting company would post earnings of $1.11 per share when it actually produced earnings of $1.18, delivering a surprise of +6.31%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. TransUnion, which belongs to the Zacks Business - Information Services industry, posted revenues of $1.31 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.73%. This compares to year-ago revenues of $1.14 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. TransUnion shares have lost about 9.9% since the beginning of the year versus the S&P 500's gain of 8.3%. While TransUnion has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for TransUnion was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.23 on $1.31 billion in revenues for the coming quarter and $4.75 on $5.14 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Business - Information Services is currently in the top 21% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Onterris (ONT), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This company is expected to post quarterly earnings of $0.39 per share in its upcoming report, which represents a year-over-year change of -38.1%. The consensus EPS estimate for the quarter has been revised 2.2% lower over the last 30 days to the current level. Onterris' revenues are expected to be $198.78 million, down 15.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TransUnion (TRU) : Free Stock Analysis Report Montrose Environmental Group, Inc. (ONT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Montrose Environmental Group, Inc.? Here are five stocks we like better. Q1 revenue fell to $168.5 million from $177.8 million, as severe winter weather and lower environmental emergency response activity weighed on results. Management said the decline was timing-related rather than a sign of weaker underlying demand. Profitability held up well despite the revenue drop, with adjusted EBITDA at $17.8 million and margin nearly flat at 10.6%. The Consulting and Treatment segment saw improved margins, while Measurement and Analysis was pressured by weather-related disruptions. Full-year 2026 guidance was reaffirmed at $840 million to $900 million in revenue and $125 million to $130 million in adjusted EBITDA. Management expects more revenue to shift into the second half of the year and continues to see strong demand in water, technology, industrial and compliance-related markets. The Nasdaq's Historic Rally Doesn't Mean the Risk Is Gone Montrose Environmental Group (NYSE:ONT), now operating under the Onterris brand, reported lower first-quarter revenue as severe winter weather and reduced environmental emergency response activity weighed on results, but management reiterated its full-year outlook and pointed to stronger profitability and project momentum through the remainder of 2026. The company said revenue for the quarter ended March 31, 2026, was $168.5 million, down from $177.8 million in the prior-year period. President and Chief Executive Officer Vijay Manthripragada said the year-over-year decline was primarily tied to timing and lower emergency response revenue, rather than a change in underlying demand. → Rocket Lab Just Hit a New All-Time High—Time to Buy or Let It Breathe? Is AI Really Eating Software? A Wall Street Veteran Says No—Here’s Why “Excluding environmental emergency response variability, revenue was in line with our expectations,” Manthripragada said. He added that the quarter was affected by “unseasonably severe winter weather in North America” that limited field activity and delayed transportation of samples to the company’s laboratories, particularly in January and February. Management highlighted the company’s April 17 rebrand from Montrose Environmental Group to Onterris, which Manthripragada said was part of a roughly 18-month effort to create a more integrated environmental science platform. He said the rebrand is intended to better connect the company’s consulting, measurement, analysis and treatment capabilities and make it easier for clients to understand the breadth of services available. → MP Materials Is Quietly Building a Rare Earth Powerhouse 3 Chip Stocks Approaching Buy Points “Clients wanted what we were offering but were not fully aware of what we could offer,” Manthripragada said during the question-and-answer portion of the call. He said the company is not undertaking an incremental hiring push tied to the rebrand and that related plans are already included in guidance. The company also realigned its reportable segments beginning in the first quarter. Its former Assessment, Permitting and Response segment and Remediation and Reuse segment were combined into a new Consulting and Treatment segment. The Measurement and Analysis and corporate segments were not affected. Prior-period results were recast to reflect the new structure. → Micron Investors Face a High-Stakes Moment After the Latest Rally First-quarter adjusted EBITDA was $17.8 million, compared with $19 million a year earlier. Adjusted EBITDA margin was 10.6%, nearly flat with 10.7% in the prior-year quarter. Manthripragada said margins and adjusted EBITDA were above the company’s expectations, reflecting operating efficiency gains. Chief Financial Officer Allan Dicks said the revenue decline was driven by a $5.8 million decrease in environmental emergency response revenue and a $5.1 million decline primarily tied to weather impacts in Measurement and Analysis, partially offset by organic growth in Consulting and Treatment. In the Consulting and Treatment segment, revenue was $114.6 million, down from $118.8 million a year earlier. Segment adjusted EBITDA was $20.1 million, with a margin of 17.6%, up 370 basis points from the prior-year period. Dicks attributed the improvement to stronger operating performance, improved project mix, disciplined pricing and the absence of prior-year losses tied to the company’s renewables business. Measurement and Analysis revenue declined to $53.9 million from $59 million. Segment adjusted EBITDA was $9.9 million, or 18.4% of revenue, compared with $13.8 million, or 23.3% of revenue, in the prior-year period. Dicks said the margin pressure was temporary and reflected lower utilization caused by weather-related disruptions rather than a change in the segment’s underlying economics. Onterris reaffirmed full-year 2026 guidance for revenue of $840 million to $900 million and adjusted EBITDA of $125 million to $130 million. Management said it remains committed to achieving a 15% adjusted EBITDA margin for the full year. For the second quarter, the company expects revenue of $190 million to $210 million and adjusted EBITDA margin of 16% to 18% at the midpoint of that revenue range. Dicks said a focus on larger multi-service-line opportunities, which can take longer to close, is pushing more revenue into the back half of the year. In response to a question from William Blair’s Timothy Mulrooney, Manthripragada provided a bridge for the revenue timing shift. He said approximately $10 million of testing revenue, $25 million of Consulting and Treatment revenue and $15 million of emergency response revenue had shifted from the first half to the second half of the year. Manthripragada said testing work is supported by compliance requirements, while Consulting and Treatment projects are already underway. On emergency response, he noted that timing is inherently difficult to predict, but the company still expects the business to contribute approximately $50 million to $70 million annually. “The work wasn’t lost,” Manthripragada said. “It just got delayed.” Operating cash flow was negative $11.6 million in the first quarter, compared with positive $5.5 million in the prior-year period. Free cash flow was negative $17.2 million. Dicks said the decrease was primarily driven by $16.3 million of higher bonus payments tied to strong 2025 performance, as well as normal seasonal working capital dynamics. Dicks said the company still expects to convert at least 60% of adjusted EBITDA into operating cash flow for the full year. He also said Onterris ended the quarter with $10 million of cash and $178 million of availability under its revolving credit facility, for total liquidity of $188 million. The company’s leverage ratio was 2.8 times as of March 31. During the quarter, Onterris repurchased 376,313 shares of common stock for approximately $10 million, leaving $30 million of remaining repurchase authorization. Dicks said the repurchases reflected management’s view that the company’s valuation does not fully capture its “intrinsic value and long-term earnings power.” Management said underlying demand remains strong across core services, supported by private-sector clients, infrastructure and industrial investment, regulatory complexity and demand for water and multi-contaminant water solutions. Manthripragada noted that approximately 90% of 2025 revenue came from private-sector clients. In response to a question from Clear Street’s Tim Moore, Manthripragada said the company is seeing demand in technology, semiconductors and pharmaceuticals, as well as transportation, waste, chemicals, energy and water-related services. He also said the company expects double-digit growth in its water business this year, with its outlook unchanged. Manthripragada closed the call by saying management’s confidence in the company’s trajectory continues to build, citing strong demand, client interest in integrated solutions and progress in improving efficiency and scalability across the platform. Montrose Environmental Group (NYSE: MEG) is a global provider of environmental technical and monitoring services, delivering solutions for site assessment, remediation, compliance and long-term environmental stewardship. The company serves a broad range of industries, including energy, manufacturing, chemicals, mining and government agencies, supporting clients with risk management strategies, regulatory permitting and environmental permitting. Montrose's core offerings encompass environmental consulting, engineering design, field sampling and laboratory analysis, plus innovative digital monitoring platforms. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Montrose Environmental Group Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Investors were disappointed with Onterris, Inc.'s (NYSE:ONT) earnings, despite the strong profit numbers. Our analysis uncovered some concerning factors that we believe the market might be paying attention to. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. To understand the value of a company's earnings growth, it is imperative to consider any dilution of shareholders' interests. Onterris expanded the number of shares on issue by 5.6% over the last year. Therefore, each share now receives a smaller portion of profit. To celebrate net income while ignoring dilution is like rejoicing because you have a single slice of a larger pizza, but ignoring the fact that the pizza is now cut into many more slices. Check out Onterris' historical EPS growth by clicking on this link. Onterris was losing money three years ago. Zooming in to the last year, we still can't talk about growth rates coherently, since it made a loss last year. But mathematics aside, it is always good to see when a formerly unprofitable business come good (though we accept profit would have been higher if dilution had not been required). And so, you can see quite clearly that dilution is influencing shareholder earnings. In the long term, if Onterris' earnings per share can increase, then the share price should too. However, if its profit increases while its earnings per share stay flat (or even fall) then shareholders might not see much benefit. For the ordinary retail shareholder, EPS is a great measure to check your hypothetical "share" of the company's profit. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Over the last year Onterris issued new shares and so, there's a noteworthy divergence between EPS and net income growth. Therefore, it seems possible to us that Onterris' true underlying earnings power is actually less than its statutory profit. The good news is that it earned a profit in the last twelve months, despite its previous loss. At the end of the day, it's essential to consider more than just the factors above, if you want to understand the company properly. In light of this, if you'd like to do more analysis on the company, it's vital to be informed of the risks involved. You'd be interested to know, that we found 1 warning sign for Onterris and you'll want to know about this. This note has only looked at a single factor that sheds light on the nature of Onterris' profit. But there is always more to discover if you are capable of focussing your mind on minutiae. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Montrose Environmental (ONT) came out with quarterly earnings of $0.12 per share, missing the Zacks Consensus Estimate of $0.14 per share. This compares to earnings of $0.07 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -12.73%. A quarter ago, it was expected that this company would post earnings of $0.24 per share when it actually produced earnings of $0.35, delivering a surprise of +45.83%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Montrose Environmental, which belongs to the Zacks Waste Removal Services industry, posted revenues of $168.52 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 8.27%. This compares to year-ago revenues of $177.83 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Montrose Environmental shares have lost about 11.1% since the beginning of the year versus the S&P 500's gain of 6%. While Montrose Environmental has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Montrose Environmental was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.25 on $228.1 million in revenues for the coming quarter and $1.48 on $869.36 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Waste Removal Services is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Comstock Inc. (LODE), is yet to report results for the quarter ended March 2026. This company is expected to post quarterly loss of $0.18 per share in its upcoming report, which represents a year-over-year change of +51.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Comstock Inc.'s revenues are expected to be $0.45 million, down 43.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Montrose Environmental Group, Inc. (ONT) : Free Stock Analysis Report Comstock Inc. (LODE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research