Finisar Earnings: Here’s Why the Stock is Rising Now

Finisar Corp. (NASDAQ:FNSR) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 7.85%.

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Finisar Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 4.76% to $0.20 in the quarter versus EPS of $0.21 in the year-earlier quarter.

Revenue: Rose 1.45% to $243.4 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Finisar Corp. reported adjusted EPS income of $0.20 per share. By that measure, the company beat the mean analyst estimate of $0.17. It beat the average revenue estimate of $242.6 million.

Quoting Management: “I am pleased to report fiscal fourth quarter revenues of $243.4 million, which is $5.1 million, or 2.1%, greater than the prior quarter. Our growth in revenues came primarily from sales of 10G and 100G Ethernet transceivers and transponders for datacom applications. Our favorable product mix in the quarter enabled us to achieve gross margin and earnings per diluted share that exceeded our guidance range,” said Jerry Rawls, Finisar’s executive Chairman of the Board.

Key Stats (on next page)…

Revenue increased 2.12% from $238.35 million in the previous quarter. EPS increased 17.65% from $0.17 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 $0.20 and has not changed. For the current year, the average estimate is a profit of $0.60, which is the same with that ninety days ago.

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