Beat and miss
A beat means a reported result is above the consensus estimate; a miss means it is below.
A beat is when a reported figure, such as EPS or revenue, comes in above the consensus estimate, and a miss is when it comes in below. The comparison should use the same basis as the consensus, such as adjusted EPS. A result in line with consensus is called in line.
On our site, beats and misses are labeled per metric with the size of the surprise. Check whether the surprise is in EPS, revenue or guidance, since the market can react differently to each.
Traders care because the surprise, not the raw number, moves prices on an earnings day. A beat paired with weak guidance can still lead to a fall.
Worked example (illustrative numbers, not real data): consensus EPS is 2.00 and the company reports 2.10, a beat of 5 percent. Revenue is 1 percent below consensus, a miss. The stock falls because the revenue miss and cautious guidance outweigh the EPS beat.