Valeant Pharmaceuticals International (NYSE: VRX) is expected to report Q1 earnings around May 2. 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 Valeant Pharmaceuticals International's revenues will increase 27.3% and EPS will grow 9.6%.

The average estimate for revenue is $1.09 billion. On the bottom line, the average EPS estimate is $1.25.

Revenue details
Last quarter, Valeant Pharmaceuticals International notched revenue of $986.3 million. GAAP reported sales were 43% higher than the prior-year quarter's $688.5 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 $1.22. GAAP EPS were -$0.29 for Q4 versus $0.17 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 78.9%, 290 basis points worse than the prior-year quarter. Operating margin was 31.9%, 180 basis points worse than the prior-year quarter. Net margin was -9.0%, much worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $4.61 billion. The average EPS estimate is $5.60.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 197 members out of 223 rating the stock outperform, and 26 members rating it underperform. Among 76 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 69 give Valeant Pharmaceuticals International a green thumbs-up, and seven give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Valeant Pharmaceuticals International is outperform, with an average price target of $69.88.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.