What to Expect from Constant Contact

Constant Contact (Nasdaq: CTCT  ) is expected to report Q4 earnings on Jan. 31. 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 Constant Contact's revenues will grow 13.7% and EPS will drop -40.7%.

The average estimate for revenue is $65.4 million. On the bottom line, the average EPS estimate is $0.16.

Revenue details
Last quarter, Constant Contact booked revenue of $63.8 million. GAAP reported sales were 17% higher than the prior-year quarter's $54.3 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.20. GAAP EPS of $0.21 for Q3 were 17% higher than the prior-year quarter's $0.18 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 70.7%, 40 basis points worse than the prior-year quarter. Operating margin was 3.9%, 660 basis points worse than the prior-year quarter. Net margin was 10.4%, 60 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $251.3 million. The average EPS estimate is $0.56.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 93 members out of 111 rating the stock outperform, and 18 members rating it underperform. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 37 give Constant Contact a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Constant Contact is hold, with an average price target of $24.53.

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