It's Showtime for II-VI (IIVI)

It's Showtime for II-VI

II-VI (Nasdaq: IIVI ) is expected to report Q4 earnings on Aug. 2. 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 II-VI's revenues will increase 3.0% and EPS will wane -23.5%.

The average estimate for revenue is $135.8 million. On the bottom line, the average EPS estimate is $0.26.

Revenue details
Last quarter, II-VI logged revenue of $132.6 million. GAAP reported sales were 2.0% higher than the prior-year quarter's $130.0 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 $0.28. GAAP EPS of $0.22 for Q3 were 39% lower than the prior-year quarter's $0.36 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 37.6%, 310 basis points worse than the prior-year quarter. Operating margin was 15.7%, 400 basis points worse than the prior-year quarter. Net margin was 10.6%, 720 basis points worse than the prior-year quarter.

Looking ahead
The full year's average estimate for revenue is $533.5 million. The average EPS estimate is $1.04.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,303 members out of 1,324 rating the stock outperform, and 21 members rating it underperform. Among 375 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 370 give II-VI a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on II-VI is outperform, with an average price target of $25.18.

Add II-VI to My Watchlist.

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 of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of II-VI. Motley Fool newsletter services recommend II-VI. 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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