ValueClick Earnings: Here’s Why Investors are Not Happy Now

ValueClick, Inc. (NASDAQ:VCLK) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 14.94%.

ValueClick, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 11.43% to $0.39 in the quarter versus EPS of $0.35 in the year-earlier quarter.

Revenue: Decreased 0.73% to $159.8 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: ValueClick, Inc. reported adjusted EPS income of $0.39 per share. By that measure, the company missed the mean analyst estimate of $0.39. It missed the average revenue estimate of $166.17 million.

Quoting Management: “The continued strong performance by our higher value add offerings demonstrate that we are moving in the right direction, as evidenced by our strong earnings in the quarter and record free cash flow,” said John Giuliani, president and chief executive officer of ValueClick. “Despite some top line weakness in the quarter from our insertion order-driven display business, we made great progress on our integration initiatives. In addition, our significant affiliate marketing client wins during Q2 represent a great addition to our roster of direct, strategic relationships with major advertisers and provide us with an even stronger base for sustainable, profitable growth in the years to come.”

Key Stats (on next page)…

Revenue decreased 3.41% from $165.44 million in the previous quarter. EPS decreased 7.14% from $0.42 in the previous quarter.

Looking Forward: 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 $0.44 to a profit $0.43. For the current year, the average estimate is a profit of $1.87, which is the same with that ninety days ago.

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]