The 10-second takeaway
For the quarter ended March 31 (Q1), Sequenom missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP loss per share expanded.
Margins contracted across the board.
Sequenom logged revenue of $14.9 million. The nine analysts polled by S&P Capital IQ expected sales of $16.5 million on the same basis. GAAP reported sales were 10% higher than the prior-year quarter's $13.5 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 -$0.22. The 11 earnings estimates compiled by S&P Capital IQ averaged -$0.19 per share. GAAP EPS were -$0.22 for Q1 versus -$0.13 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 36.5%, 2,640 basis points worse than the prior-year quarter. Operating margin was -163.1%, 6,600 basis points worse than the prior-year quarter. Net margin was -163.9%, 7,010 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $19.1 million. On the bottom line, the average EPS estimate is -$0.21.
Next year's average estimate for revenue is $85.7 million. The average EPS estimate is -$0.86.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 658 members out of 714 rating the stock outperform, and 56 members rating it underperform. Among 154 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 138 give Sequenom a green thumbs-up, and 16 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Sequenom is outperform, with an average price target of $6.73.
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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.