The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict NetSuite's revenues will increase 29.6% and EPS will contract -20.0%.
The average estimate for revenue is $83.0 million. On the bottom line, the average EPS estimate is $0.04.
Last quarter, NetSuite booked revenue of $79.8 million. GAAP reported sales were 31% higher than the prior-year quarter's $61.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, non-GAAP EPS came in at $0.08. GAAP EPS were -$0.11 for Q3 compared to -$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.
For the preceding quarter, gross margin was 68.6%, 140 basis points worse than the prior-year quarter. Operating margin was -9.1%, 150 basis points better than the prior-year quarter. Net margin was -10.0%, 140 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $306.9 million. The average EPS estimate is $0.24.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 230 members out of 320 rating the stock outperform, and 90 members rating it underperform. Among 102 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 71 give NetSuite a green thumbs-up, and 31 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on NetSuite is hold, with an average price target of $47.76.
Software and computerized services are being consumed in radically different ways, on new and increasingly mobile devices. Many old leaders will be left behind. Whether or not NetSuite makes the coming cut, you should check out the company that Motley Fool analysts expect to lead the pack in "The Next Trillion-dollar Revolution." Click here for instant access to this free report.
- Add NetSuite to My Watchlist.
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. TMFDisclosureHere