Convergys (NYSE: CVG ) is expected to report Q3 earnings on Oct. 30. 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 Convergys's revenues will contract -13.3% and EPS will contract -16.0%.
The average estimate for revenue is $500.3 million. On the bottom line, the average EPS estimate is $0.21.
Last quarter, Convergys logged revenue of $491.1 million. GAAP reported sales were 3.5% higher than the prior-year quarter's $474.6 million.
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 $0.19. GAAP EPS of $0.12 for Q2 were 52% lower than the prior-year quarter's $0.25 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 35.6%, 20 basis points worse than the prior-year quarter. Operating margin was 7.3%, 280 basis points better than the prior-year quarter. Net margin was 3.0%, 370 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $2.00 billion. The average EPS estimate is $0.84.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 98 members out of 118 rating the stock outperform, and 20 members rating it underperform. Among 29 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 24 give Convergys a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Convergys is outperform, with an average price target of $16.22.
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