The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict ReachLocal's revenues will expand 11.3% and EPS will shrink to a loss.
The average estimate for revenue is $124.9 million. On the bottom line, the average EPS estimate is -$0.03.
Last quarter, ReachLocal logged revenue of $121.8 million. GAAP reported sales were 17% higher than the prior-year quarter's $104.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
Last quarter, EPS came in at -$0.02. GAAP EPS were -$0.02 for Q1 compared to -$0.03 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the preceding quarter, gross margin was 49.5%, 10 basis points worse than the prior-year quarter. Operating margin was 0.1%, 110 basis points better than the prior-year quarter. Net margin was -0.5%, 50 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $529.1 million. The average EPS estimate is $0.01.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 67 members out of 75 rating the stock outperform, and eight members rating it underperform. Among 24 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 21 give ReachLocal a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ReachLocal is outperform, with an average price target of $17.00.
Looking for alternatives to ReachLocal? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add ReachLocal 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. The Motley Fool recommends ReachLocal. 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.