Monday, May 13, 2013

Are You Expecting This from ViaSat?

ViaSat (Nasdaq: VSAT  ) is expected to report Q4 earnings on May 16. 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 ViaSat's revenues will expand 18.6% and EPS will turn positive

The average estimate for revenue is $285.3 million. On the bottom line, the average EPS estimate is $0.02.

Revenue details
Last quarter, ViaSat reported revenue of $286.4 million. GAAP reported sales were 40% higher than the prior-year quarter's $205.0 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 $0.04. GAAP EPS were -$0.47 for Q3 against $0.12 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 26.2%, 220 basis points worse than the prior-year quarter. Operating margin was 0.4%, 50 basis points worse than the prior-year quarter. Net margin was -7.3%, 980 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.10 billion. The average EPS estimate is -$0.21.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 91 members out of 101 rating the stock outperform, and 10 members rating it underperform. Among 23 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 23 give ViaSat a green thumbs-up, and give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ViaSat is outperform, with an average price target of $43.64.

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