Fossil (Nasdaq: FOSL) is expected to report Q2 earnings on Aug. 7. Here's what Wall Street wants to see.

The 10-second takeaway
Comparing the upcoming quarter with the prior-year quarter, average analyst estimates predict Fossil's revenues will expand 14.1% and EPS will compress -1.3%.

The average estimate for revenue is $635.1 million. On the bottom line, the average EPS estimate is $0.79.

Revenue details
Last quarter, Fossil recorded revenue of $589.5 million. GAAP reported sales were 9.8% higher than the prior-year quarter's $537.0 million.

My

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 $0.93. GAAP EPS of $0.93 for Q1 were 8.1% higher than the prior-year quarter's $0.86 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 55.8%, 40 basis points worse than the prior-year quarter. Operating margin was 14.1%, 310 basis points worse than the prior-year quarter. Net margin was 9.9%, 50 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $2.93 billion. The average EPS estimate is $5.32.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 541 members out of 601 rating the stock outperform, and 60 members rating it underperform. Among 171 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 160 give Fossil a green thumbs-up, and 11 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Fossil is outperform, with an average price target of $136.18.

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