The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Cornerstone OnDemand beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP loss per share expanded.
Gross margins dropped, operating margins dropped, net margins expanded.
Cornerstone OnDemand recorded revenue of $36.4 million. The 11 analysts polled by S&P Capital IQ looked for revenue of $35.5 million on the same basis. GAAP reported sales were 63% higher than the prior-year quarter's $22.4 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 -$0.06. The 11 earnings estimates compiled by S&P Capital IQ predicted -$0.06 per share. GAAP EPS were -$0.15 for Q4 versus -$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 quarter, gross margin was 70.6%, 90 basis points worse than the prior-year quarter. Operating margin was -21.0%, 40 basis points worse than the prior-year quarter. Net margin was -20.4%, 170 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $37.1 million. On the bottom line, the average EPS estimate is -$0.07.
Next year's average estimate for revenue is $171.5 million. The average EPS estimate is -$0.15.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 24 members out of 44 rating the stock outperform, and 20 members rating it underperform. Among 21 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), nine give Cornerstone OnDemand a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cornerstone OnDemand is outperform, with an average price target of $31.40.
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