AmSurg Earnings Preview

Motley Fool Staff
Updated

Investors hope AmSurg (NAS: AMSG) will top analyst estimates once again after beating predictions by $0.02 in the previous quarter. The company will unveil its latest earnings on Thursday, Feb. 23. AmSurg develops, acquires, and operates ambulatory surgery centers, or ASCs, in partnership with physicians.

What analysts say:

  • Buy, sell, or hold?: Analysts think investors should stand pat on AmSurg with seven of 10 analysts rating it hold. Analysts like AmSurg better than competitor LCA-Vision overall. Zero out of one analysts rate LCA-Vision a buy compared to one of 10 for AmSurg.

  • Revenue forecasts: On average, analysts predict $213.7 million in revenue this quarter. That would represent a rise of 15.7% from the year-ago quarter.

  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.46 per share. Estimates range from $0.41 to $0.47.

What our community says:
CAPS All-Stars are solidly behind the stock, with 95% granting it an "outperform" rating. The community at large is in line with the All-Stars, with 94.7% assigning it a rating of "outperform." Despite the majority sentiment in favor of AmSurg, the stock has a middling CAPS rating of three out of five stars.

Management:
AmSurg's income has fallen year-over-year by an average of 7.5% over the past five quarters. Revenue has now gone up for three straight quarters.

Now, a look at how efficient management has been at running the business. Margins illustrate how efficiently a company captures portions of sales dollars. AmSurg has seen decreasing net margin year-over-year for the last four quarters. Net margin reflects what percentage of each dollar earned by the company becomes profit. Here are AmSurg's reported margins for the last four quarters:

Quarter

Q3

Q2

Q1

Q4

Gross Margin

56.0%

56.7%

56.1%

56.0%

Operating Margin

30.6%

31.9%

31.6%

33.1%

Net Margin

6.7%

6.2%

6.5%

6.1%

For all our AmSurg-specific analysis, including earnings and beyond, add AmSurg to My Watchlist.

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Earnings estimates provided by Zacks.

At the time thisarticle was published

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