Can Moneygram International Meet These Numbers?

Seth Jayson, The Motley Fool
Updated

Moneygram International (NYS: MGI) is expected to report Q2 earnings on July 26. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Moneygram International's revenues will improve 7.4% and EPS will improve 9.5%.

The average estimate for revenue is $333.0 million. On the bottom line, the average EPS estimate is $0.23.


Revenue details
Last quarter, Moneygram International recorded revenue of $318.1 million. GAAP reported sales were 8.2% higher than the prior-year quarter's $294.0 million.

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

EPS details
Last quarter, non-GAAP EPS came in at $0.21. GAAP EPS were $0.14 for Q1 versus -$2.08 per share for the prior-year quarter.

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

Recent performance
For the preceding quarter, gross margin was 38.1%, 80 basis points worse than the prior-year quarter. Operating margin was 12.2%, 140 basis points better than the prior-year quarter. Net margin was 3.2%, 160 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $1.35 billion. The average EPS estimate is $1.00.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 195 members out of 227 rating the stock outperform, and 32 members rating it underperform. Among 45 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 36 give Moneygram International a green thumbs-up, and nine give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Moneygram International is outperform, with an average price target of $21.63.

Is Moneygram International 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." Click here for instant access to this free report.

The article Can Moneygram International Meet These Numbers? originally appeared on Fool.com.

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. 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.

Advertisement