Wyndham Worldwide Earnings: Here’s Why Investors are Happy Now

Wyndham Worldwide Corporation (NYSE:WYN) 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 5%.

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

Wyndham Worldwide Corporation Earnings Cheat Sheet

Results: Net income increased 44.64% to $81 million ($0.63 per diluted share) in the quarter versus a net gain of $56 million in the year-earlier quarter.

Revenue: Rose 8.89% to $1.09 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Wyndham Worldwide Corporation reported adjusted net income of $0.63 per share. By that measure, the company beat the mean analyst estimate of $0.60. It beat the average revenue estimate of $1.06 billion.

Quoting Management:“I’m pleased by our 30% adjusted EPS growth in 2012, especially coming off of 25% growth in 2011. These results reflect the momentum in our business, the strong execution by our teams and a capital allocation philosophy that works for shareholders,” said Stephen P. Holmes, chairman and CEO, Wyndham Worldwide.

Key Stats (on next page)…

Revenue decreased 13.83% from $1.27 billion in the previous quarter. Net income decreased 49.06% from $159 million in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.72 and has not changed. For the current year, the average estimate has moved down from a profit of $3.2 to a profit of $3.18 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.)