The St. Joe Company Third Quarter Earnings Sneak Peek

The St. Joe Company (NYSE:JOE) will unveil its latest earnings on Thursday, November 1, 2012. The St Joe Company is a real estate development company which is engaged in residential, commercial and industrial development and rural land sales.

The St. Joe Company Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for a loss of one cent per share, a narrower loss from the year-earlier quarter net loss of 5 cents. During the past three months, the average estimate has moved up from a loss of 2 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at a loss of one cent during the last month.

Past Earnings Performance: The company is looking to beat analyst estimates for the third quarter in a row. Last quarter, it beat estimates with 0 cents per share against the mean estimate of 2 cents. In the prior quarter, the company reported net loss of one cent.

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A Look Back: In the second quarter, the company swung to a profit of $176,000 (0 cents a share) from a loss of $13.3 million (14 cents) a year earlier, beating analyst estimates. Revenue rose 20.1% to $30.4 million from $25.3 million.

Stock Price Performance: Between August 2, 2012 and October 26, 2012, the stock price rose $2.60 (15.3%), from $16.96 to $19.56. The stock price saw one of its best stretches over the last year between July 31, 2012 and August 14, 2012, when shares rose for 11 straight days, increasing 11.7% (+$1.98) over that span. It saw one of its worst periods between October 4, 2012 and October 11, 2012 when shares fell for six straight days, dropping 3.8% (-76 cents) over that span.

Wall St. Revenue Expectations: Analysts predict a rise of 3.7% in revenue from the year-earlier quarter to $27.7 million.

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 1.3% in the third quarter of the last fiscal year, 46.6% in the fourth quarter of the last fiscal year and 58.4% in the first quarter before climbing in the second quarter.

Heading into this earnings season, the company is looking to build on positive signs from last quarter. After taking losses in the third quarter of the last fiscal year, the fourth of the last fiscal year and the first quarter, the company finished in the black with income of $176,000 in the second.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 2.81 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. The company regressed in this liquidity measure from 2.93 in the first quarter to the last quarter driven in part by an increase in liabilities. Current liabilities increased 6.3% to $69.9 million while assets rose 1.9% to $196.3 million.

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

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