Will Quality Systems Beat These Analyst Estimates?

Updated

Quality Systems (NAS: QSII) is expected to report Q1 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 Quality Systems' revenue will improve 20.4% and EPS will improve 6.1%.

The average estimate for revenue is $121.0 million. On the bottom line, the average EPS estimate is $0.35.


Revenue details
Last quarter, Quality Systems booked revenue of $109.0 million. GAAP reported sales were 12% higher than the prior-year quarter's $97.1 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, EPS came in at $0.25. GAAP EPS of $0.25 for Q4 were 22% lower than the prior-year quarter's $0.32 per share.

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 61.5%, 430 basis points worse than the prior-year quarter. Operating margin was 21.4%, 790 basis points worse than the prior-year quarter. Net margin was 13.8%, 530 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $517.9 million. The average EPS estimate is $1.56.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS. Among 685 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 667 give Quality Systems a green thumbs-up, and 18 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Quality Systems is hold, with an average price target of $46.38.

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The article Will Quality Systems Beat These Analyst Estimates? 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. Motley Fool newsletter services have recommended buying shares of Quality Systems. 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.

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