S&P 500 (NYSE:SPY) component Quanta Services Inc (NYSE:PWR) will unveil its latest earnings on Thursday, August 2, 2012. Quanta Services provides infrastructure and contracting solutions to the electric power, natural gas, oil, and telecommunications industries.
Quanta Services Inc Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average analyst estimate is for profit of 30 cents per share, a rise of 76.5% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved up from 26 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at 30 cents during the last month. Analysts are projecting profit to rise by 71.6% versus last year to $1.15.
Past Earnings Performance: The company topped estimates last quarter after missing forecasts the quarter prior. In the first quarter, it reported net income of 25 cents per share against a mean estimate of profit of 16 cents per share. In the fourth quarter of the last fiscal year, it missed forecasts by 5 cents.
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A Look Back: In the first quarter, the company swung to a profit of $45.7 million (22 cents a share) from a loss of $17.6 million (8 cents) a year earlier, beating analyst estimates. Revenue rose 67.9% to $1.43 billion from $849 million.
Wall St. Revenue Expectations: On average, analysts predict $1.45 billion in revenue this quarter, a rise of 43.6% from the year-ago quarter. Analysts are forecasting total revenue of $5.71 billion for the year, a rise of 23.6% from last year’s revenue of $4.62 billion.
Stock Price Performance: Between July 23, 2012 and July 27, 2012, the stock price rose 92 cents (4.1%), from $22.22 to $23.14. The stock price saw one of its best stretches over the last year between April 23, 2012 and May 3, 2012, when shares rose for nine straight days, increasing 12.9% (+$2.68) over that span. It saw one of its worst periods between November 3, 2011 and November 10, 2011 when shares fell for six straight days, dropping 15.6% (-$3.50) over that span.
On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 16.1% in the second quarter of the last fiscal year, 3.7% in the third quarter of the last fiscal year and 36.8% in the fourth quarter of the last fiscal year before increasing again in the first quarter.
Analyst Ratings: With 11 analysts rating the stock a buy, none rating it a sell and three rating the stock a hold, there are indications of a bullish stance by analysts.
Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 2.32 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.
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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)
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