JDS Uniphase Corp Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component JDS Uniphase Corporation (NASDAQ:JDSU) will unveil its latest earnings tomorrow, Wednesday, January 30, 2013. JDS Uniphase provides communications test and measurement solutions and optical products for cable operators, telecommunications service providers and network equipment manufacturers.

JDS Uniphase Corporation Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 10 cents per share, a rise of 66.7% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 19 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 10 cents during the last month. Analysts are projecting profit to rise by 56.3% versus last year to 50 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 one cent, reporting profit of 10 cents per share against a mean estimate of net income of 9 cents. In the fourth quarter of the last fiscal year, the company exceeded forecasts by 2 cents with profit of 10 cents versus a mean estimate of net income of 8 cents.

Start 2013 better than ever by saving time and making money with your Limited Time Offer for our highly-acclaimed Stock Picker Newsletter. Click here for our fresh Feature Stock Pick now!

A Look Back: In the first quarter, the company’s loss widened to a loss of a $11.6 million (5 cents a share) from a loss of $5.8 million (3 cents) a year earlier, but beat analyst expectations. Revenue was unchanged at $420.9 million.

Here’s how JDS Uniphase Corp traded following its last earnings report 3 months ago and leading up to its upcoming earnings report this week:

jdsu

Wall St. Revenue Expectations: Analysts are projecting a rise of 2.7% in revenue from the year-earlier quarter to $424.2 million.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 2.14 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

Key Stats:

On the top line, the company is looking to build on last quarter’s revenue increase, which snapped a string of revenue drops. Revenue fell 12.8% in the second quarter of the last fiscal year, 9.9% in the third quarter of the last fiscal year and 6.9% in the fourth quarter of the last fiscal year before climbing in the first quarter.

The company’s gross margin shrank by 2.4 percentage points in the in the first quarter. Revenue rose 0% while cost of sales rose 4.2% to $248.3 million from a year earlier.

Analyst Ratings: There are seven out of 11 analysts surveyed (63.6%) rating JDS Uniphase a buy.

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 by Xignite Financials. Earnings estimates provided by Zacks)