AstraZeneca's Upcoming Earnings: What You Need to Know

Seth Jayson, The Motley Fool
Updated

AstraZeneca (NYS: AZN) 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 AstraZeneca's revenues will compress -17.7% and EPS will contract -20.2%.

The average estimate for revenue is $6.94 billion. On the bottom line, the average EPS estimate is $1.38.


Revenue details
Last quarter, AstraZeneca recorded revenue of $7.35 billion. GAAP reported sales were 11% lower than the prior-year quarter's $8.29 billion.

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 $1.81. GAAP EPS of $1.28 for Q1 were 38% lower than the prior-year quarter's $2.07 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 82.0%, 200 basis points worse than the prior-year quarter. Operating margin was 39.6%, 310 basis points worse than the prior-year quarter. Net margin was 22.3%, 1,280 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $28.80 billion. The average EPS estimate is $5.90.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 44 members out of 49 rating the stock outperform, and five members rating it underperform. Among three CAPS All-Star picks (recommendations by the highest-ranked CAPS members), three give AstraZeneca a green thumbs-up, and none give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AstraZeneca is hold, with an average price target of $48.39.

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The article AstraZeneca's Upcoming Earnings: What You Need to Know 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.

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