Vonage Holdings Corp. Third Quarter Earnings Sneak Peek

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Vonage Holdings Corp. (NYSE:VG) will unveil its latest earnings on Wednesday, November 2, 2011. Vonage Holdings is a provider of broadband Voice over Internet Protocol telephone services to residential and small office customers.

Vonage Holdings Corp. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 8 cents per share, a rise of twofold from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 9 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 8 cents during the last month. Analysts are projecting profit to rise by 61.9% versus last year to 34 cents.

Past Earnings Performance: Last quarter, the company beat estimates by 3 cents, coming in at profit of 10 cents a share versus the estimate of net income of 7 cents a share. It marked the fourth straight quarter of beating estimates.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 3.1% in revenue from the year-earlier quarter to $220.9 million.

A Look Back: In the second quarter, the company swung to a profit of $21.7 million (9 cents a share) from a loss of $562,000 (0 cents) a year earlier, beating analyst estimates. Revenue fell 3.1% to $218.3 million from $225.3 million.

Key Stats:

Revenue has fallen in the past four quarters. Revenue declined 3.6% in the first quarter from the year earlier, dropped 2.6% in fourth quarter of the last fiscal year from the year-ago quarter and 3.3% in the third quarter of the last fiscal year.

Competitors to Watch: IDT Corporation (NYSE:IDT), Sprint Nextel (NYSE:S), 8×8, Inc. (NASDAQ:EGHT), Verizon Communications Inc. (NYSE:VZ), AT&T Inc. (NYSE:T), CenturyLink, Inc. (NYSE:CTL), Consolidated Communications Hldgs. Inc (NASDAQ:CNSL), Warwick Valley Telephone Co. (NASDAQ:WWVY), Cbeyond, Inc. (NASDAQ:CBEY), and BCE Inc. (NYSE:BCE).

Stock Price Performance: During September 29, 2011 to October 27, 2011, the stock price had risen 78 cents (29.9%) from $2.61 to $3.39. The stock price saw one of its best stretches over the last year between March 24, 2011 and April 5, 2011 when shares rose for nine-straight days, rising 14.8% (+61 cents) over that span. It saw one of its worst periods between July 29, 2011 and August 8, 2011 when shares fell for seven-straight days, falling 28.2% (-$1.13) over that span. Shares are up $1.15 (+51.3%) year to date.

(Source: Xignite Financials)

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

 

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