Verisk Analytics Beats Analyst Estimates on EPS (VRSK)

Verisk Analytics Beats Analyst Estimates on EPS

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Verisk Analytics (Nasdaq: VRSK ) reported earnings on July 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Verisk Analytics met expectations on revenues and beat slightly on earnings per share.

Compared to the prior-year quarter, revenue expanded, and GAAP earnings per share improved.

Gross margins increased, operating margins expanded, net margins contracted.

Revenue details
Verisk Analytics reported revenue of $373.2 million. The nine analysts polled by S&P Capital IQ wanted to see revenue of $369.9 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $327.3 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.47. The nine earnings estimates compiled by S&P Capital IQ predicted $0.46 per share. GAAP EPS of $0.43 for Q2 were 13% higher than the prior-year quarter's $0.38 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 60.6%, 70 basis points better than the prior-year quarter. Operating margin was 37.1%, 30 basis points better than the prior-year quarter. Net margin was 19.6%, 40 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $388.8 million. On the bottom line, the average EPS estimate is $0.51.

Next year's average estimate for revenue is $1.51 billion. The average EPS estimate is $1.96.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 85 members out of 91 rating the stock outperform, and six members rating it underperform. Among 20 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 20 give Verisk Analytics 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 Verisk Analytics is outperform, with an average price target of $51.82.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is the co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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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