The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Quidel beat slightly on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue improved significantly, and GAAP earnings per share improved.
Margins improved across the board.
Quidel notched revenue of $38.4 million. The 10 analysts polled by S&P Capital IQ expected sales of $37.9 million on the same basis. GAAP reported sales were 21% higher than the prior-year quarter's $31.7 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 $0.03. The nine earnings estimates compiled by S&P Capital IQ predicted $0.06 per share. GAAP EPS were $0.03 for Q4 against -$0.01 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 quarter, gross margin was 60.2%, 380 basis points better than the prior-year quarter. Operating margin was 5.6%, 720 basis points better than the prior-year quarter. Net margin was 2.5%, 380 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $45.3 million. On the bottom line, the average EPS estimate is $0.34.
Next year's average estimate for revenue is $154.6 million. The average EPS estimate is $0.42.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 174 members rating the stock outperform and nine members rating it underperform. Among 45 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 43 give Quidel a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Quidel is outperform, with an average price target of $17.56.
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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.