Are You Expecting This from Global Cash Access Holdings?

Seth Jayson, The Motley Fool
Updated

Global Cash Access Holdings (NYS: GCA) is expected to report Q1 earnings on May 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 Global Cash Access Holdings's revenues will contract -1.2% and EPS will contract -4.8%.

The average estimate for revenue is $149.2 million. On the bottom line, the average EPS estimate is $0.20.


Revenue details
 Last quarter, Global Cash Access Holdings notched revenue of $136.1 million. GAAP reported sales were 1.2% lower than the prior-year quarter's $137.7 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 $0.17. GAAP EPS of $0.06 for Q4 were 14% lower than the prior-year quarter's $0.07 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 24.7%, 150 basis points worse than the prior-year quarter. Operating margin was 7.1%, 320 basis points worse than the prior-year quarter. Net margin was 3.2%, 10 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $584.8 million. The average EPS estimate is $0.78.

Investor sentiment
 The stock has a two-star rating (out of five) at Motley Fool CAPS, with 145 members out of 169 rating the stock outperform, and 24 members rating it underperform. Among 45 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 33 give Global Cash Access Holdings a green thumbs-up, and 12 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Global Cash Access Holdings is buy, with an average price target of $12.00.

Is Global Cash Access Holdings playing the right part in the new technology revolution? Computers, mobile devices, and related services are creating huge amounts of valuable data, but only for companies that can crunch the numbers and make sense of it. Meet the leader in this field in "The Only Stock You Need To Profit From the NEW Technology Revolution." Click here for instant access to this free report.

The article Are You Expecting This from Global Cash Access Holdings? 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 has no position in any of the stocks mentioned. 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement