NCR Earnings: Here’s Why Investors are Buying Shares Now

NCR Corp. (NYSE:NCR) 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 3.59%.

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

NCR Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 14.89% to $0.54 in the quarter versus EPS of $0.47 in the year-earlier quarter.

Revenue: Rose 13.34% to $1.41 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: NCR Corp. reported adjusted EPS income of $0.54 per share. By that measure, the company beat the mean analyst estimate of $0.41. It beat the average revenue estimate of $1.34 billion.

Quoting Management: “The first quarter represented a solid start to 2013 and we are raising our profitability outlook for the full year,” said Bill Nuti, Chairman and CEO of NCR. “We are executing well across our lines of business, led by strong momentum in our Retail Solutions and Hospitality segments. During the quarter, we closed the acquisition of Retalix, strengthening our retail software and services offerings. We continue to advance our leading global point-of-sale solutions and new innovations, such as our NCR Silver™ tablet and mobile solution for smaller retailers, and integrate mobile technologies across our platforms. Additionally, software revenues continue to grow, evidenced by a 35% increase year-over-year. These factors, combined with our global leadership in financial self-service and a focus on good business execution and continued innovation, strengthen our ability to drive results and ensure that our solutions are at the forefront of our customers’ businesses.”

Key Stats (on next page)…

Revenue decreased 14.13% from $1.64 billion in the previous quarter. EPS decreased 25% from $0.72 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.64 to a profit $0.69. For the current year, the average estimate has moved up from a profit of $2.59 to a profit of $2.71 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)