Does The Street Have Valeant Pharmaceuticals International Figured Out?
Valeant Pharmaceuticals International (NYS: VRX) is expected to report Q2 earnings on Aug. 2. Here's what Wall Street wants to see.
The 10-second takeaway
Comparing the upcoming quarter with the prior-year quarter, average analyst estimates predict Valeant Pharmaceuticals International's revenues will grow 35.0% and EPS will expand 35.6%.
The average estimate for revenue is $822.7 million. On the bottom line, the average EPS estimate is $0.99.
Last quarter, Valeant Pharmaceuticals International booked revenue of $856.1 million. GAAP reported sales were 52% higher than the prior-year quarter's $565.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, non-GAAP EPS came in at $1.14. GAAP EPS were -$0.04 for Q1 compared to $0.02 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 67.4%, 730 basis points worse than the prior-year quarter. Operating margin was 20.7%, 710 basis points worse than the prior-year quarter. Net margin was -1.5%, 260 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $3.53 billion. The average EPS estimate is $4.54.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 185 members out of 205 rating the stock outperform, and 20 members rating it underperform. Among 62 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 55 give Valeant Pharmaceuticals International a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Valeant Pharmaceuticals International is outperform, with an average price target of $60.59.
The drug and healthcare investing landscape is littered with also-rans and a few major winners. Is Valeant Pharmaceuticals International the right stock for you? Read "Discover the Next Rule-Breaking Multibagger" to learn about a company David Gardner believes will be a phenomenal success over the next few years. Get instant access to this free report.
- Add Valeant Pharmaceuticals International to My Watchlist.
The article Does The Street Have Valeant Pharmaceuticals International Figured Out? 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 the co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.