j2 Global Beats Analyst Estimates on EPS
j2 Global (NAS: JCOM) reported earnings on May 3. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), j2 Global met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share dropped.
Gross margins improved, operating margins grew, and net margins contracted.
j2 Global booked revenue of $86.7 million. The six analysts polled by S&P Capital IQ wanted to see a top line of $86.1 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $73.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.64. The six earnings estimates compiled by S&P Capital IQ averaged $0.62 per share. GAAP EPS of $0.60 for Q1 were 9.1% lower than the prior-year quarter's $0.66 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 81.7%, 320 basis points better than the prior-year quarter. Operating margin was 43.4%, 1,200 basis points better than the prior-year quarter. Net margin was 32.9%, 930 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $87.8 million. On the bottom line, the average EPS estimate is $0.63.
Next year's average estimate for revenue is $354.4 million. The average EPS estimate is $2.55.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 430 members out of 452 rating the stock outperform, and 22 members rating it underperform. Among 146 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 139 give j2 Global 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 j2 Global is outperform, with an average price target of $32.50.
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At the time this article was published 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. 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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