Are You Expecting This from Quality Systems?
Quality Systems (NAS: QSII) is expected to report Q1 earnings on July 25. 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 Quality Systems's revenues will shrink -2.3% and EPS will wane -15.4%.
The average estimate for revenue is $115.6 million. On the bottom line, the average EPS estimate is $0.22.
Revenue details
Last quarter, Quality Systems tallied revenue of $111.3 million. GAAP reported sales were 2.1% higher than the prior-year quarter's $109.0 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 $0.21. GAAP EPS were -$0.07 for Q4 versus $0.25 per share for the prior-year quarter.
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 56.6%, 490 basis points worse than the prior-year quarter. Operating margin was 13.7%, 770 basis points worse than the prior-year quarter. Net margin was -3.7%, much worse than the prior-year quarter.
Looking ahead
The full year's average estimate for revenue is $481.4 million. The average EPS estimate is $0.98.
Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,101 members out of 2,170 rating the stock outperform, and 69 members rating it underperform. Among 704 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 691 give Quality Systems a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Quality Systems is hold, with an average price target of $17.77.
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The article Are You Expecting This from Quality Systems? 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 Quality Systems. 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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