Computer Programs & Systems Earnings: Here’s Why Investors are Selling Shares Now

Computer Programs & Systems Inc. (NASDAQ:CPSI) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 4.08%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

Computer Programs & Systems Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 23.53% to $0.63 in the quarter versus EPS of $0.51 in the year-earlier quarter.

Revenue: Rose 11.26% to $49.5 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Computer Programs & Systems Inc. reported adjusted EPS income of $0.63 per share. By that measure, the company missed the mean analyst estimate of $0.75. It missed the average revenue estimate of $49.83 million.

Quoting Management: There was no comment from management.

Key Stats (on next page)…

Revenue increased 3.3% from $47.92 million in the previous quarter. EPS decreased 8.7% from $0.69 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.76 and has not changed. For the current year, the average estimate has moved down from a profit of $3.13 to a profit of $2.91 over the last ninety days.

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