Applied Materials Third Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Applied Materials (NASDAQ:AMAT) will unveil its latest earnings on Wednesday, August 15, 2012. Applied Materials manufacturers and produces capital equipments, and it provides manufacturing equipment, software, and solutions for the global semiconductor, flat panel liquid crystal displays, solar, and related industries. .

Applied Materials Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 22 cents per share, a decline of 37.1% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 26 cents. Between one and three months ago, the average estimate moved down. It also has dropped from 25 cents during the last month. For the year, analysts are projecting net income of 80 cents per share, a decline of 38.5% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 3 cents, reporting profit of 27 cents per share against a mean estimate of net income of 24 cents per share.

Investing Insights: Is TV the Next Bullish Catalyst for Apple’s Stock?

Wall St. Revenue Expectations: Analysts predict a decline of 16.8% in revenue from the year-earlier quarter to $2.32 billion.

Stock Price Performance: From July 12, 2012 to August 9, 2012, the stock price rose $1.52 (14.7%), from $10.37 to $11.89. The stock price saw one of its best stretches over the last year between March 6, 2012 and March 19, 2012, when shares rose for 10 straight days, increasing 6.9% (+82 cents) over that span. It saw one of its worst periods between April 27, 2012 and May 18, 2012 when shares fell for 16 straight days, dropping 13.9% (-$1.67) over that span.

Analyst Ratings: There are mostly holds on the stock with 10 of 17 analysts surveyed giving that rating.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 2.37 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

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 by Xignite Financials. Earnings estimates provided by Zacks)

Don’t Miss These Additional Hot Stories:

Investors and Traders: Here are the BIGGEST IMMEDIATE LOSERS of Earnings Season

Is There Too Much Hope for These Stocks in the Housing Rebound?

Is Caterpillar’s Stock a BUY?