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What to Expect from JDS Uniphase

By Seth Jayson – Updated Apr 7, 2017 at 12:09PM

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Checking expectations

JDS Uniphase (Nasdaq: JDSU) is expected to report Q1 earnings on Oct. 30. 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 JDS Uniphase's revenues will expand 1.4% and EPS will wane -33.3%.

The average estimate for revenue is $426.7 million. On the bottom line, the average EPS estimate is $0.12.

Revenue details
Last quarter, JDS Uniphase chalked up revenue of $439.3 million. GAAP reported sales were 6.9% lower than the prior-year quarter's $471.8 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 $0.15. GAAP EPS were -$0.10 for Q4 versus $0.04 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 45.0%, 130 basis points worse than the prior-year quarter. Operating margin was 0.9%, 440 basis points worse than the prior-year quarter. Net margin was -5.1%, 710 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.81 billion. The average EPS estimate is $0.75.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 682 members out of 821 rating the stock outperform, and 139 members rating it underperform. Among 145 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 113 give JDS Uniphase a green thumbs-up, and 32 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on JDS Uniphase is outperform, with an average price target of $14.65.

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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. The Motley Fool has no positions in the stocks mentioned above. 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.

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