Key Technology Earnings Preview: Get Ahead of the Analysts

Key Technology (NASDAQ:KTEC) will report earnings after markets close on Thursday, July 25th. Key Technology, Inc. designs, manufactures, sells, and services process automation systems for the food processing industry and other industries such as tobacco, plastics, and pharmaceuticals. The Company’s systems integrate electro-optical automated inspection and sorting systems, specialized conveying systems, and product preparation systems.

Here is your Cheat Sheet to Key Technology Earnings:

Earnings Expectations: Analysts expect earnings of $0.19 per share on revenues of $36.30 million. Currently, the company’s P/E ratio stands at 30.84.

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 $0.19 to a profit $0.15. For the current year, the average estimate is a profit of $0.57, which is better than the estimate ninety days ago.

Earnings Trends:

Here’s how Key Technology has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 134 105 116 116 115
Diluted EPS ($) 1.35 -0.10 0.69 0.27 0.08

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

Quarter Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012 Mar. 31, 2013
Revenue ($) in millions 34.62 27.33 19.85 35.49
Diluted EPS ($) 0.05 0.22 -0.16 0.38

Past Performance:
Key Technology has beat analyst estimates 2 times in the past four quarters. This is not consistent enough to get bullish yet.

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