K12 (NYSE: LRN ) is expected to report Q2 earnings around Feb. 4. 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 K12's revenues will increase 25.0% and EPS will grow 100.0%.
The average estimate for revenue is $208.1 million. On the bottom line, the average EPS estimate is $0.22.
Last quarter, K12 recorded revenue of $221.1 million. GAAP reported sales were 14% higher than the prior-year quarter's $193.3 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 $0.11. GAAP EPS of $0.11 for Q1 were 8.3% lower than the prior-year quarter's $0.12 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 46.3%, 140 basis points worse than the prior-year quarter. Operating margin was 3.9%, 40 basis points worse than the prior-year quarter. Net margin was 2.0%, 40 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $847.7 million. The average EPS estimate is $0.69.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 167 members out of 191 rating the stock outperform, and 24 members rating it underperform. Among 50 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 41 give K12 a green thumbs-up, and nine give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on K12 is outperform, with an average price target of $28.50.
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