Athenahealth Earnings Preview: Can This Streak Continue?

Athenahealth (NASDAQ:ATHN) will report earnings after markets close on Thursday, July 18th. athenahealth Inc. provides Internet-based business services for physician practices. The Company’s services include a revenue cycle management service that automates and manages billing-related functions for physician practices and includes a practice management platform.

Here is your Cheat Sheet to Athenahealth Earnings:

Earnings Expectations: Analysts expect earnings of $0.22 per share on revenues of $148.26 million. Currently, the company’s P/E ratio stands at 204.40.

Analyst Trends:

Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.32 to a profit $0.24. For the current year, the average estimate is a profit of $1.1, which is worse than the estimate ninety days ago.

Earnings Trends:

Here’s how Athenahealth has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 140 189 246 324 422
Diluted EPS ($) 0.83 0.27 0.36 0.53 0.50

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012 Mar. 31, 2013
Revenue ($) in millions 103.51 105.89 116.30 125.60
Diluted EPS ($) 0.11 0.17 0.16 0.02

Past Performance:
Athenahealth has beat analyst estimates 4 times in the past four quarters. Shareholders could expect a boost if the company beats estimates.

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