Demand Media (NYSE: DMD ) is expected to report Q4 earnings on Feb. 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 Demand Media's revenues will increase 19.3% and EPS will increase 37.5%.
The average estimate for revenue is $100.7 million. On the bottom line, the average EPS estimate is $0.11.
Last quarter, Demand Media reported revenue of $98.1 million. GAAP reported sales were 20% higher than the prior-year quarter's $81.5 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 $0.11. GAAP EPS were $0.04 for Q3 compared to -$0.05 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 52.6%, 180 basis points better than the prior-year quarter. Operating margin was 5.3%, 930 basis points better than the prior-year quarter. Net margin was 3.2%, 830 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $372.8 million. The average EPS estimate is $0.38.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 33 members out of 66 rating the stock outperform, and 33 members rating it underperform. Among 29 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), nine give Demand Media a green thumbs-up, and 20 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Demand Media is hold, with an average price target of $12.50.
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