Acme Packet, Inc. Second Quarter Earnings Sneak Peek

Acme Packet, Inc. (NASDAQ:APKT) will unveil its latest earnings on Thursday, July 21, 2011. The company provides session border controllers that enable service providers to deliver secure interactive communications-voice, video and other real-time multimedia sessions-across Internet Protocol network borders. Investing in Technology: Google, Apple, Netflix and Leading Markets>>

Acme Packet, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 21 cents per share, a rise of 40% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 20 cents. For the year, analysts are projecting net income of 89 cents per share, a rise of 36.9% from last year.

Past Earnings Performance: The company fell in line with estimates last quarter after topping forecasts the quarter before. After coming in above the mean estimate by 2 cents in the fourth quarter of the last fiscal year, the company fell in line with expecations by reporting profit of 20 cents per share last quarter.

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Wall St. Revenue Expectations: On average, analysts predict $76.9 million in revenue this quarter, a rise of 44.1% from the year ago quarter. Analysts are forecasting total revenue of $322.6 million for the year, a rise of 39.5% from last year’s revenue of $231.2 million.

Analyst Ratings: Analysts are bullish on this stock with seven analysts rating it as a buy, one rating it as a sell and four rating it as a hold.

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 58.3%, with the biggest boost coming in the fourth quarter of the last fiscal year when revenue rose 70.2% from the year earlier quarter.

The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 64.5% while it rose 59.9% in the fourth quarter of the last fiscal year and more than twofold in the third quarter of the last fiscal year.

Competitors to Watch: Sonus Networks, Inc. (NASDAQ:SONS), Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC), Riverbed Technology, Inc. (NASDAQ:RVBD), Nokia Corporation (NYSE:NOK), Alcatel-Lucent (NYSE:ALU), Cisco Systems, Inc. (NASDAQ:CSCO), Ditech Networks Inc. (NASDAQ:DITC), Oracle Corporation (NASDAQ:ORCL), Motorola Solutions Inc (NYSE:MSI), and Motorola Mobility Hldgs. Inc (NYSE:MMI).

Stock Price Performance: During May 18, 2011 to July 15, 2011, the stock price had fallen $10.47 (-13.7%) from $76.37 to $65.90. The stock price saw one of its best stretches over the last year between August 23, 2010 and September 3, 2010 when shares rose for 10-straight days, rising 14.9% (+$4.73) over that span. It saw one of its worst periods between March 14, 2011 and March 18, 2011 when shares fell for five-straight days, falling 7.5% (-$5.42) over that span. Shares are up $12.74 (+24%) year to date.

(Source: Xignite Financials)

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