Rofin-Sinar Technologies (Nasdaq: RSTI) came in under analyst estimates last quarter and now has a chance to fix things. The company will unveil its latest earnings on Thursday, Aug. 4. Rofin-Sinar Technologies is engaged in the design, development, engineering, manufacturing, and marketing of laser-based products, primarily used for cutting, welding, and marking a wide range of materials.

What analysts say:

  • Buy, sell, or hold?: The majority of analysts back Rofin-Sinar as a buy. But with 66.7% of analysts rating it a buy, Rofin-Sinar is still below the mean analyst rating of its nearest 10 competitors, which average 68.9% buys. Wall Street has warmed to the stock over the past three months, with analysts increasing their endorsement from a hold to a moderate buy.
  • Revenue forecasts: On average, analysts predict $150.8 million in revenue this quarter. That would represent a rise of 36.7% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.51 per share. Estimates range from $0.47 to $0.54.

What our community says:
CAPS All-Stars are solidly behind the stock, with 99.8% giving it an "outperform" rating. The community at large backs the All-Stars, with 98.2% granting it a rating of "outperform." Fools are keen on Rofin-Sinar and haven't been shy with their opinions lately, logging 286 posts in the past 30 days. Rofin-Sinar has a bullish CAPS rating of five out of five stars that is about on par with the Fool community's assessment.

Management:
Rofin-Sinar's profit has risen year over year by an average of 79.4%.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters. 

Quarter Q2 Q1 Q4 Q3
Gross Margin 40.2% 41.1% 40.5% 38.9%
Operating Margin 13.6% 15.7% 16.5% 10.9%
Net Margin 9.3% 10.8% 9.6% 8.8%
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