CareFusion Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component CareFusion (NYSE:CFN) will unveil its latest earnings on Thursday, February 2, 2012. CareFusion is a medical technology company offering clinically proven products and services designed to improve the safety and quality of healthcare.

CareFusion Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 43 cents per share, a decline of 2.3% 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 47 cents. Between one and three months ago, the average estimate was unchanged. It has since dropped over the last month. Analysts are projecting profit to rise by 9.7% versus last year to $1.81.

Past Earnings Performance: The company met estimates last quarter after beating the forecasts in the prior two. In the first quarter, the company reported net income of 33 cents per share versus a mean estimate of profit of 33 cents per share. In the fourth quarter of the last fiscal year, the company beat estimates by one cent.

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Wall St. Revenue Expectations: Analysts are projecting a decline of 8.6% in revenue from the year-earlier quarter to $914.2 million.

Analyst Ratings: seven out of 13 analysts surveyed (53.8%) have a buy rating on CareFusion.. This is below the mean analyst rating of 10 competitors, which average 66.7% buy ratings.

A Look Back: In the first quarter, profit rose 76.3% to $67 million (30 cents a share) from $38 million (17 cents a share) the year earlier, meeting analyst expectations. Revenue fell 7% to $844 million from $908 million.

Key Stats:

Revenue has fallen in the past four quarters. Revenue declined 6.9% in the fourth quarter of the last fiscal year from the year earlier, dropped 8.9% in third quarter of the last fiscal year from the year-ago quarter and 1.7% in the second quarter of the last fiscal year.

Competitors to Watch: Teleflex Incorporated (NYSE:TFX), Covidien plc (NYSE:COV), Thermo Fisher Scientific Inc. (NYSE:TMO), Cardinal Health, Inc. (NYSE:CAH), Masimo Corporation (NASDAQ:MASI), Angeion Corporation (NASDAQ:ANGN), NeuroMetrix, Inc. (NASDAQ:NURO), Baxter International Inc. (NYSE:BAX), C.R. Bard, Inc. (NYSE:BCR), and Stryker Corporation (NYSE:SYK).

Stock Price Performance: During October 31, 2011 to January 27, 2012, the stock price had fallen $1.70 (-6.6%) from $25.60 to $23.90. The stock price saw one of its best stretches over the last year between January 17, 2012 and January 26, 2012 when shares rose for eight-straight days, rising 5.9% (+$1.34) over that span. It saw one of its worst periods between July 21, 2011 and August 2, 2011 when shares fell for nine-straight days, falling 12.8% (-$3.59) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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