DragonWave (Nasdaq: DRWI ) is expected to report Q3 earnings on Jan. 9. 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 DragonWave's revenues will grow 248.9% and EPS will remain in the red.
The average estimate for revenue is $41.4 million. On the bottom line, the average EPS estimate is -$0.30.
Last quarter, DragonWave booked revenue of $43.8 million. GAAP reported sales were much higher than the prior-year quarter's $13.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at -$0.03. GAAP EPS were -$0.03 for Q2 against -$0.06 per share for 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 15.3%, 2,710 basis points worse than the prior-year quarter. Operating margin was -41.4%, 1,900 basis points better than the prior-year quarter. Net margin was -2.5%, 1,370 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $149.8 million. The average EPS estimate is -$0.91.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 253 members out of 267 rating the stock outperform, and 14 members rating it underperform. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 40 give DragonWave a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DragonWave is underperform, with an average price target of $3.35.
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