Adobe Systems (Nasdaq: ADBE ) is expected to report Q3 earnings on Sep. 19. 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 Adobe Systems's revenues will increase 9.0% and EPS will increase 5.5%.
The average estimate for revenue is $1.10 billion. On the bottom line, the average EPS estimate is $0.58.
Last quarter, Adobe Systems logged revenue of $1.12 billion. GAAP reported sales were 9.9% higher than the prior-year quarter's $1.02 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, non-GAAP EPS came in at $0.60. GAAP EPS of $0.45 were the same as the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 88.4%, 90 basis points worse than the prior-year quarter. Operating margin was 26.9%, 10 basis points worse than the prior-year quarter. Net margin was 19.9%, 250 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $4.48 billion. The average EPS estimate is $2.42.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,790 members out of 1,908 rating the stock outperform, and 118 members rating it underperform. Among 487 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 458 give Adobe Systems a green thumbs-up, and 29 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Adobe Systems is outperform, with an average price target of $34.45.
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