II-VI (Nasdaq: IIVI) is expected to report Q1 earnings on Oct. 23. 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 II-VI's revenues will wane -6.0% and EPS will compress -24.1%.

The average estimate for revenue is $130.0 million. On the bottom line, the average EPS estimate is $0.22.

Revenue details
Last quarter, II-VI reported revenue of $136.9 million. GAAP reported sales were 3.9% higher than the prior-year quarter's $131.8 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 $0.26. GAAP EPS of $0.23 for Q4 were 34% lower than the prior-year quarter's $0.35 per share.

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 37.1%, 450 basis points worse than the prior-year quarter. Operating margin was 14.7%, 480 basis points worse than the prior-year quarter. Net margin was 10.6%, 610 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $564.1 million. The average EPS estimate is $1.10.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,294 members out of 1,316 rating the stock outperform, and 22 members rating it underperform. Among 398 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 393 give II-VI a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on II-VI is outperform, with an average price target of $21.22.

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. The Motley Fool has no positions in the stocks mentioned above. Motley Fool newsletter services recommend II-VI. 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.