It's Showtime for RPX

Seth Jayson, The Motley Fool
Updated

RPX (NAS: RPXC) is expected to report Q4 earnings on Feb. 12. 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 RPX's revenues will grow 15.6% and EPS will contract -5.0%.

The average estimate for revenue is $49.0 million. On the bottom line, the average EPS estimate is $0.19.


Revenue details
 Last quarter, RPX logged revenue of $47.0 million. GAAP reported sales were 23% higher than the prior-year quarter's $38.4 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 $0.18. GAAP EPS of $0.14 for Q3 were 6.7% lower than the prior-year quarter's $0.15 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 53.3%, 380 basis points worse than the prior-year quarter. Operating margin was 25.5%, 800 basis points worse than the prior-year quarter. Net margin was 16.1%, 440 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $195.1 million. The average EPS estimate is $0.84.

Investor sentiment
 The stock has a four-star rating (out of five) at Motley Fool CAPS, with 138 members out of 140 rating the stock outperform, and two members rating it underperform. Among 47 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 45 give RPX a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on RPX is outperform, with an average price target of $18.50.

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The article It's Showtime for RPX 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 recommends RPX. 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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