NetEase (Nasdaq: NTES ) is expected to report Q2 earnings on Aug. 15. 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 NetEase's revenues will increase 24.7% and EPS will increase 20.9%.
The average estimate for revenue is $334.4 million. On the bottom line, the average EPS estimate is $1.10.
Last quarter, NetEase logged revenue of $318.2 million. GAAP reported sales were 36% higher than the prior-year quarter's $229.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at $1.14. GAAP EPS of $1.14 for Q1 were 33% 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.
For the preceding quarter, gross margin was 67.7%, 200 basis points better than the prior-year quarter. Operating margin was 49.6%, 340 basis points better than the prior-year quarter. Net margin was 47.9%, 130 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $1.39 billion. The average EPS estimate is $4.69.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,116 members out of 1,158 rating the stock outperform, and 42 members rating it underperform. Among 292 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 279 give NetEase a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on NetEase is outperform, with an average price target of $61.52.
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