Are You Expecting This from Daktronics?

Daktronics (Nasdaq: DAKT  ) is expected to report Q3 earnings on Feb. 19. 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 Daktronics's revenues will expand 0.8% and EPS will expand 75.0%.

The average estimate for revenue is $123.9 million. On the bottom line, the average EPS estimate is $0.07.

Revenue details
Last quarter, Daktronics booked revenue of $149.9 million. GAAP reported sales were 10% higher than the prior-year quarter's $135.9 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, EPS came in at $0.27. GAAP EPS of $0.27 for Q2 were 200% higher than the prior-year quarter's $0.09 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 28.3%, 510 basis points better than the prior-year quarter. Operating margin was 11.3%, 690 basis points better than the prior-year quarter. Net margin was 7.7%, 480 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $532.5 million. The average EPS estimate is $0.59.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 431 members out of 466 rating the stock outperform, and 35 members rating it underperform. Among 94 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 90 give Daktronics a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Daktronics is outperform, with an average price target of $12.17.

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