DealerTrack Holdings Inc. Third Quarter Earnings Sneak Peek

DealerTrack Holdings, Inc. (NASDAQ:TRAK) will unveil its latest earnings on Monday, November 7, 2011. DealerTrack Holdings is a provider of on-demand software and data solutions for the automotive retail industry in the United States.

DealerTrack Holdings, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 18 cents per share, a rise of 50% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. Analysts are projecting profit to rise by 97.1% versus last year to 69 cents.

Past Earnings Performance: The company has beaten estimates the last two quarters and is coming off a quarter where it topped the forecasts by 2 cents, reporting profit of 18 cents per share against a mean estimate of net income of 16 cents. In the first quarter, the company exceeded forecasts by 18 cents with profit of 25 cents versus a mean estimate of net income of 7 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 40.2% in revenue from the year-earlier quarter to $88.5 million.

Analyst Ratings: Analysts seem relatively indifferent about DealerTrack Holdings with four of seven analysts surveyed maintaining a hold rating.

A Look Back: In the second quarter, the company swung to a profit of $2.2 million (5 cents a share) from a loss of $117,000 (0 cents) a year earlier, beating analyst estimates. Revenue rose 43.8% to $89.1 million from $61.9 million.

Key Stats:

Revenue has risen the past four quarters. Revenue rose 35.9% in the first quarter from the year earlier, climbed 16.4% in the fourth quarter of the last fiscal year from the year-ago quarter and 7.3% in the third quarter of the last fiscal year.

Competitors to Watch: Automatic Data Processing (NASDAQ:ADP), Openwave Systems Inc. (NASDAQ:OPWV), Equifax Inc. (NYSE:EFX), ModusLink Global Solutions, Inc. (NASDAQ:MLNK), Solera Holdings, Inc. (NYSE:SLH), Keynote Systems, Inc. (NASDAQ:KEYN).

Stock Price Performance: During October 4, 2011 to November 1, 2011, the stock price had risen $5.46 (36.7%) from $14.87 to $20.33. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 7, 2011 when shares rose for nine-straight days, rising 15.2% (+$3.25) over that span. It saw one of its worst periods between July 29, 2011 and August 8, 2011 when shares fell for seven-straight days, falling 26.3% (-$6.09) over that span. Shares are up 26 cents (+1.3%) year to date.

(Source: Xignite Financials)

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