Landec's Upcoming Earnings: What You Need To Know

Checking expectations

Seth Jayson
Seth Jayson
Sep 24, 2012 at 12:00AM
Other

Landec (Nasdaq: LNDC) is expected to report Q1 earnings on Sep. 26. 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 Landec's revenues will grow 24.2% and EPS will grow 14.3%.

The average estimate for revenue is $91.1 million. On the bottom line, the average EPS estimate is $0.08.

Revenue details
Last quarter, Landec reported revenue of $82.6 million. GAAP reported sales were 21% higher than the prior-year quarter's $68.1 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.16. GAAP EPS were $0.11 for Q4 against -$0.10 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 17.9%, 300 basis points better than the prior-year quarter. Operating margin was 6.0%, 420 basis points better than the prior-year quarter. Net margin was 3.4%, 740 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $416.1 million. The average EPS estimate is $0.64.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 921 members out of 943 rating the stock outperform, and 22 members rating it underperform. Among 265 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 262 give Landec a green thumbs-up, and three give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Landec is buy, with an average price target of $10.25.