Commtouch Software Earnings Preview: Get Ahead of the Analysts

Commtouch Software (NASDAQ:CTCH) will report earnings before markets open on Thursday, May 16th. Commtouch Software Ltd. provides outsourced email and other messaging solutions. The Company provides its solutions to Web-based companies, small Web sites, and businesses worldwide.

Here is your Cheat Sheet to Commtouch Software Earnings:

Earnings Expectations: Analysts expect earnings of $0.00 per share on revenues of $7.63 million. Currently, the company’s P/E ratio stands at 48.83.

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 $0.06 to a profit $0.03. For the current year, the average estimate is a profit of $0.11, which is worse than the estimate ninety days ago.

Earnings Trends:

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

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 14.09 15.19 18.16 23.02 23.91
Diluted EPS ($) 0.08 0.20 0.18 0.19 0.06

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

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 5.95 5.90 5.67 5.56 6.79
Diluted EPS ($) 0.0519 0.05 0.03 0.00 -0.0216

Past Performance:
Commtouch Software has missed analyst estimates 3 times in the past four quarters. Shareholders could expect a bust if the company misses estimates.

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