Forrester Research Beats Up on Analysts Yet Again

Before you go, we thought you'd like these...
Before you go close icon

Forrester Research (NAS: FORR) reported earnings on April 25. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Forrester Research met expectations on revenues and beat expectations on earnings per share.

Compared with the prior-year quarter, revenue improved and GAAP earnings per share grew.


Margins improved across the board.

Revenue details
Forrester Research logged revenue of $70.3 million. The four analysts polled by S&P Capital IQ looked for revenue of $70.2 million on the same basis. GAAP reported sales were 6.9% higher than the prior-year quarter's $65.7 million.

anImage

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.22. The three earnings estimates compiled by S&P Capital IQ anticipated $0.17 per share. GAAP EPS of $0.14 for Q1 were 7.7% higher than the prior-year quarter's $0.13 per share.

anImage

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 61.7%, 50 basis points better than the prior-year quarter. Operating margin was 8.5%, 150 basis points better than the prior-year quarter. Net margin was 4.5%, 10 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $80.6 million. On the bottom line, the average EPS estimate is $0.32.

Next year's average estimate for revenue is $311.5 million. The average EPS estimate is $1.21.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 65 members out of 72 rating the stock outperform, and seven members rating it underperform. Among 26 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 24 give Forrester Research a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Forrester Research is outperform, with an average price target of $36.75.

Is Forrester Research playing the right part in the new technology revolution? Computers, mobile devices, and related services are creating huge amounts of valuable data, but only for companies that can crunch the numbers and make sense of it. Meet the leader in this field in "The Only Stock You Need To Profit From the NEW Technology Revolution." Get instant access to this free report.

At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings. He is the co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners