The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Rubicon Technology missed estimates on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped significantly.
Margins contracted across the board.
Rubicon Technology chalked up revenue of $19.4 million. The 11 analysts polled by S&P Capital IQ predicted revenue of $20.4 million on the same basis. GAAP reported sales were 34% lower than the prior-year quarter's $29.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.04. The eight earnings estimates compiled by S&P Capital IQ anticipated $0.07 per share. GAAP EPS of $0.04 for Q4 were 94% lower than the prior-year quarter's $0.65 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 12.1%, 5,110 basis points worse than the prior-year quarter. Operating margin was -3.3%, 5,400 basis points worse than the prior-year quarter. Net margin was 4.4%, 4,760 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $9.7 million. On the bottom line, the average EPS estimate is -$0.12.
Next year's average estimate for revenue is $94.0 million. The average EPS estimate is $0.55.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 153 members out of 186 rating the stock outperform, and 33 members rating it underperform. Among 44 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 36 give Rubicon Technology a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rubicon Technology is hold, with an average price target of $13.18.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.