Peabody Energy (NYSE: BTU) is expected to report Q3 earnings on Oct. 22. 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 Peabody Energy's revenues will contract -3.4% and EPS will decrease -61.4%.

The average estimate for revenue is $1.97 billion. On the bottom line, the average EPS estimate is $0.34.

Revenue details
Last quarter, Peabody Energy logged revenue of $2.00 billion. GAAP reported sales were 0.9% higher than the prior-year quarter's $1.98 billion.

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 $0.73. GAAP EPS of $0.75 for Q2 were 28% lower than the prior-year quarter's $1.04 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 25.9%, 620 basis points worse than the prior-year quarter. Operating margin was 14.1%, 890 basis points worse than the prior-year quarter. Net margin was 10.2%, 420 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $8.03 billion. The average EPS estimate is $1.87.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,015 members out of 2,104 rating the stock outperform, and 89 members rating it underperform. Among 363 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 344 give Peabody Energy a green thumbs-up, and 19 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Peabody Energy is outperform, with an average price target of $41.42.

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