Finisar Corp. (FNSR, Financial), the optical communication components and subsystems manufacturer, will release its fourth-quarter and full-year 2017 results after market close on June 15.
For the fourth quarter, analysts forecast the company will report adjusted EPS of 50 cents.Â
Source: Yahoo Finance
The average EPS – as forecasted by analysts – represents a 72.4% increase on a year-over-year basis and ranges between a low estimate of 45 cents and a high estimate of 53 cents.
These estimates are backed by revenue forecasts of $359.19 million for the quarter.
Source: Yahoo Finance
This average estimate represents a 12.7% upside from 2016 revenue. Estimates range between a low of $341.3 million and a high of $371.1 million.
Financially, the company’s business lies on a solid balance sheet with an impressive $1.21 billion in cash and securities and total debt of $699.9 million. These two figures lead to a current ratio of 7.13 and to a total debt-equity ratio of 49.48.
The interest coverage ratio, which measures the company’s ability to pay interest expenses on outstanding debt, is 3.91, well above the standard of 1.5.
The company has approximately 111.39 million shares outstanding, of which 1.12% is held by insiders and 95.70% is held by institutions. Based on the current market value of $25.36 per share, Finisar has a market capitalization value of $2.82 billion.
The stock is valued $36.82 per share by sell side analysts. This value represents a 45.2% upside to the current share price. The recommendation rating is 1.8 out of 5.
The stock has been uptrending since April 19, but it has lost 16.22% year to date and is trading well below its 52-week high of $36.85. The 52-week low is $16.67.
The price-earnings (P/E) ratio is 21.58, the price-sales (P/S) ratio is 2 and the price-book (P/B) ratio is 1.99. The analysts forecast a forward P/E ratio of 11.17 that combined with their forecasted EPS of $2.27 for full year 2018, gives us a value of $25.36 per share. The same as the closing share price of yesterday, June 13.
Disclosure: I have no positions in Finisar Corp.
