Volcano (NAS: VOLC) reported earnings on May 2. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Volcano met expectations on revenues and 0 on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share contracted to zero.
Gross margins expanded, operating margins shrank, net margins shrank.
Volcano booked revenue of $90.4 million. The 14 analysts polled by S&P Capital IQ expected a top line of $91.0 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $81.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.00. The 12 earnings estimates compiled by S&P Capital IQ anticipated $0.01 per share. GAAP EPS dropped to zero from the prior-year quarter's $0.02.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 67.3%, 170 basis points better than the prior-year quarter. Operating margin was 2.1%, 250 basis points worse than the prior-year quarter. Net margin was 0.3%, 110 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $96.6 million. On the bottom line, the average EPS estimate is $0.04.
Next year's average estimate for revenue is $394.6 million. The average EPS estimate is $0.22.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 168 members out of 193 rating the stock outperform, and 25 members rating it underperform. Among 55 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 50 give Volcano a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Volcano is outperform, with an average price target of $31.88.
Over the decades, small-cap stocks, like Volcano have provided market-beating returns, provided they're value priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
Add Volcano to My Watchlist.
At the time thisarticle was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Motley Fool newsletter services have recommended buying shares of Volcano. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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.