China Automotive Systems, Inc. Fourth Quarter Earnings Sneak Peek

China Automotive Systems, Inc. (NASDAQ:CAAS) will unveil its latest earnings on Tuesday, June 21, 2011. China Automotive Systems, Inc. is a holding company, which through joint ventures in China and a wholly-owned subsidiary, manufactures power steering systems and other component parts for automobiles.

China Automotive Systems, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst is estimating net income of 28 cents per share, a decline of 17.6% from the same quarter a year ago. Estimates range from profit of 25 cents per share to net income of 33 cents per share. The consensus estimate is the same as three months ago.

Savvy Investing Tip: Our CHEAT SHEET investing framework recommends only stocks with two straight quarters of earnings growth. Learn More >>

Wall St. Revenue Expectations: On average, analysts predict $95.7 million in revenue this quarter, a rise of 14.2% from the year ago quarter. Analysts are forecasting total revenue of $339.7 million for the year, from last year’s revenue of $255.6 million.

Analyst Ratings: Analysts are bullish on this stock with five analysts rating it as a buy and none rating it as a sell. While the average rating for the stock remains a moderate buy, the rating is on steadier footing than three months ago.

Key Stats:

Revenue has now gone up for three straight quarters. In third quarter of the last fiscal year, revenue rose 17.7% to $76.1 million while the figure rose 36.2% in second quarter from the year earlier.

The company’s gross margin shrank by 3.4 percentage points in the last quarter. Revenue rose 17.7% while cost of sales rose 23.2% to $57.9 million from a year earlier.

Competitors to Watch: Sorl Auto Parts, Inc. (NASDAQ:SORL), Tenneco Inc. (NYSE:TEN), Wonder Auto Tech., Inc. (NASDAQ:WATG), Meritor Inc (MTOR), TRW Automotive Hldgs. Corp. (NYSE:TRW), Tower International (NYSE:TOWR), Dana Holding Corporation (NYSE:DAN), American Axle & Manufact. Hldgs., Inc. (NYSE:AXL), and Federal-Mogul Corporation (NASDAQ:FDML).

Recent Price Movement: From two months ago, the stock price has fallen $2.72 (-28%) from $9.70 on April 15, 2011 to $6.98 on June 13, 2011. The stock price saw one of its best stretches over the last year between June 15, 2010 and June 21, 2010 when shares rose for five-straight days, rising 6.5% (+$1.25) over that span. It saw one of its worst periods between May 10, 2011 and May 18, 2011 when shares fell for seven-straight days, falling 11.2% (-99 cents) over that span. Shares are down $6.64 (-48.8%) year to date.

(Source: Xignite Financials)

Get Actionable Investing Insights: Check Out Wall St. Cheat Sheet’s newest Feature Trades of the Month!