PerkinElmer Third Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component PerkinElmer, Inc. (NYSE:PKI) will unveil its latest earnings on Thursday, October 25, 2012. PerkinElmer provides technology, services, and solutions to the environmental monitoring, diagnostics, academic research, and safety security markets.

PerkinElmer, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 44 cents per share, a rise of 7.3% 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 47 cents. Between one and three months ago, the average estimate moved down. It has risen from 43 cents during the last month. Analysts are projecting profit to rise by 11.5% versus last year to $2.04.

Past Earnings Performance: Last quarter, the company beat estimates by 5 cents, coming in at net income of 53 cents a share versus the estimate of profit of 48 cents a share. It marked the fourth straight quarter of beating estimates.

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A Look Back: In the second quarter, profit rose 17.8% to $33.6 million (29 cents a share) from $28.6 million (25 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 8.8% to $521.8 million from $479.5 million.

Stock Price Performance: Between July 26, 2012 and October 19, 2012, the stock price rose $3.69 (14.8%), from $24.88 to $28.57. The stock price saw one of its best stretches over the last year between August 29, 2012 and September 7, 2012, when shares rose for seven straight days, increasing 6.5% (+$1.74) over that span. It saw one of its worst periods between August 21, 2012 and August 29, 2012 when shares fell for seven straight days, dropping 2.7% (-73 cents) over that span.

Wall St. Revenue Expectations: Analysts are projecting a rise of 11.4% in revenue from the year-earlier quarter to $505.3 million.

Key Stats:

On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 8.3% in the third quarter of the last fiscal year, 14.9% in the fourth quarter of the last fiscal year and 14.1% in the first quarter before increasing again in the second quarter.

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

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 1.53 last quarter. The current ratio is an indication of a firm’s liquidity and ability to meet creditor demands and generally, for every dollar the company owes in the short term, it has that figure available in assets that can be converted to cash in the short term.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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