Can Pegasystems Meet These Numbers?
Pegasystems (NAS: PEGA) is expected to report Q3 earnings around Nov. 7. 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 Pegasystems's revenues will grow 19.4% and EPS will grow 46.2%.
The average estimate for revenue is $114.0 million. On the bottom line, the average EPS estimate is $0.19.
Last quarter, Pegasystems recorded revenue of $105.1 million. GAAP reported sales were 1.5% higher than the prior-year quarter's $103.5 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 $0.09. GAAP EPS were -$0.06 for Q2 versus $0.06 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 61.9%, 90 basis points better than the prior-year quarter. Operating margin was -2.6%, 590 basis points worse than the prior-year quarter. Net margin was -2.2%, 440 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $465.2 million. The average EPS estimate is $0.87.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 161 members out of 182 rating the stock outperform, and 21 members rating it underperform. Among 49 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 43 give Pegasystems a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Pegasystems is hold, with an average price target of $40.00.
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The article Can Pegasystems 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. The Motley Fool owns shares of Pegasystems. Motley Fool newsletter services recommend Pegasystems. 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.