Acacia Research Earnings: Here’s Why the Stock is Down Now

Acacia Research Corporation (NASDAQ:ACTG) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 13.74%.

Acacia Research Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 69.77% to $0.13 in the quarter versus EPS of $0.43 in the year-earlier quarter.

Revenue: Decreased 54.24% to $23.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Acacia Research Corporation reported adjusted EPS income of $0.13 per share. By that measure, the company missed the mean analyst estimate of $0.47. It missed the average revenue estimate of $66.98 million.

Quoting Management: Acacia Research Corporation President, Matt Vella commented, “We invite shareholders and analysts to attend our previously announced 2013 Analyst & Investor Day at the New York Palace Hotel from 8:00 AM until 1:30 PM on Wednesday, July 24th.”

Key Stats (on next page)…

Revenue decreased 69.95% from $76.86 million in the previous quarter. EPS decreased 72.34% from $0.47 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.5 to a profit $0.56. For the current year, the average estimate is a profit of $2.32, which is the same with that ninety days ago.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]