Saturday, February 7, 2015

Does The Street Have MICROS Systems Figured Out?

MICROS Systems (Nasdaq: MCRS  ) is expected to report Q3 earnings on April 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 MICROS Systems's revenues will expand 18.9% and EPS will grow 8.9%.

The average estimate for revenue is $330.7 million. On the bottom line, the average EPS estimate is $0.61.

Revenue details
Last quarter, MICROS Systems notched revenue of $324.5 million. GAAP reported sales were 20% higher than the prior-year quarter's $270.4 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 $0.58. GAAP EPS of $0.54 for Q2 were 15% higher than the prior-year quarter's $0.47 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 53.0%, 330 basis points worse than the prior-year quarter. Operating margin was 19.0%, 110 basis points worse than the prior-year quarter. Net margin was 13.6%, 60 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.31 billion. The average EPS estimate is $2.43.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 136 members out of 145 rating the stock outperform, and nine members rating it underperform. Among 44 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 41 give MICROS Systems a green thumbs-up, and three give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on MICROS Systems is outperform, with an average price target of $56.33.

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