It's Showtime for Zix

Zix (Nasdaq: ZIXI  ) is expected to report Q1 earnings on April 23. 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 Zix's revenues will expand 15.0% and EPS will wither 0.0%.

The average estimate for revenue is $11.8 million. On the bottom line, the average EPS estimate is $0.04.

Revenue details
Last quarter, Zix reported revenue of $11.7 million. GAAP reported sales were 18% higher than the prior-year quarter's $9.9 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 $0.05. GAAP EPS of $0.06 for Q4 were 74% lower than the prior-year quarter's $0.23 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 82.4%, 110 basis points better than the prior-year quarter. Operating margin was 27.7%, 200 basis points worse than the prior-year quarter. Net margin was 34.1%, much worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $49.7 million. The average EPS estimate is $0.20.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 546 members out of 782 rating the stock outperform, and 236 members rating it underperform. Among 64 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 62 give Zix 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 Zix is buy, with an average price target of $4.58.

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