SolarWinds is expected to report Q1 earnings on April 30. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict SolarWinds's revenues will increase 26.8% and EPS will grow 23.3%.
The average estimate for revenue is $75.7 million. On the bottom line, the average EPS estimate is $0.37.
Last quarter, SolarWinds reported revenue of $73.5 million. GAAP reported sales were 32% higher than the prior-year quarter's $55.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, non-GAAP EPS came in at $0.36. GAAP EPS of $0.29 for Q4 were 32% higher than the prior-year quarter's $0.22 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 92.8%, 110 basis points worse than the prior-year quarter. Operating margin was 42.4%, 200 basis points worse than the prior-year quarter. Net margin was 30.3%, 100 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $336.2 million. The average EPS estimate is $1.59.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 130 members out of 161 rating the stock outperform, and 31 members rating it underperform. Among 37 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 30 give SolarWinds a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on SolarWinds is outperform, with an average price target of $56.36.
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