A month has gone by since the last earnings report for Luminex . Shares have added about 14.4% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Luminex due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
Luminex Q4 Earnings Miss Estimates, Revenues Beat
Luminex Corporation reported fourth-quarter 2020 earnings per share of 1 cent, missing the Zacks Consensus Estimate by 92.9%. The bottomline also fell 85.7% year over year.
For 2020, earnings per share came in at 32 cents, also lagging the Zacks Consensus Estimate by 27.3%. However, the company reported a loss per share of 9 cents in the year-ago period.
Revenues
For the fourth quarter, revenues summed $111.4 million, beating the Zacks Consensus Estimate by 0.4%. The top line also improved 23% on a year-over-year basis.
For the full year, revenues came at $417.4 million, beating the Zacks Consensus Estimate by 1.8%.The topline also rose 25% year over year.
Segmental Analysis
For the fourth quarter, total sample-to-answer molecular diagnostics revenues grew 49% from the prior-year quarter.
System Sales
Revenues at this segment totaled $23.8 million, up 14% from the year-ago quarter.
Consumable Sales
This segment accounted for $12.9 million of revenues, up 11% year over year.
Royalty Revenues
Royalty revenues totaled $13.9 million, up 3% on a year-over-year basis.
Assay Revenues
This segment reported revenues worth $51.3 million, up 41% on a year-over-year basis.
Service Revenues
Revenues in the segment amounted to $6.3 million, up 12% from the year-ago quarter.
Other
Other revenues came in at $3.1 million, up 28% from the prior-year quarter.
Financial Update
The company exited the fourth quarter with cash and cash equivalents of $309.4 million, up from $308.5 million on a sequential basis.
Cumulative net cash provided by operating activities at the end of the fourth quarter of 2020 came in at $49.9 million compared with $13.5 million in the year-ago period.
Margins
Gross profit in the reported quarter was $64.4 million, up 29.2% year over year. Gross margin was 57.9%, expanding 275 basis points (bps).
The company reported adjusted operating profit of $13.4 million, up 130% from the year-ago quarter’s figure. Adjusted operating margin came in at 12%, expanding 560 bps.
Guidance
Revenues for 2021 are reaffirmed to be around $480 million, indicating growth of more than15% from Luminex's reported 2020 tally. The Zacks Consensus Estimate for the same is pegged at $476.2 million
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month. The consensus estimate has shifted -28.63% due to these changes.
VGM Scores
Currently, Luminex has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Luminex has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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Luminex (LMNX) Up 14.4% Since Last Earnings Report: Can It Continue?
A month has gone by since the last earnings report for Luminex . Shares have added about 14.4% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Luminex due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
Luminex Q4 Earnings Miss Estimates, Revenues Beat
Luminex Corporation reported fourth-quarter 2020 earnings per share of 1 cent, missing the Zacks Consensus Estimate by 92.9%. The bottomline also fell 85.7% year over year.
For 2020, earnings per share came in at 32 cents, also lagging the Zacks Consensus Estimate by 27.3%. However, the company reported a loss per share of 9 cents in the year-ago period.
Revenues
For the fourth quarter, revenues summed $111.4 million, beating the Zacks Consensus Estimate by 0.4%. The top line also improved 23% on a year-over-year basis.
For the full year, revenues came at $417.4 million, beating the Zacks Consensus Estimate by 1.8%.The topline also rose 25% year over year.
Segmental Analysis
For the fourth quarter, total sample-to-answer molecular diagnostics revenues grew 49% from the prior-year quarter.
System Sales
Revenues at this segment totaled $23.8 million, up 14% from the year-ago quarter.
Consumable Sales
This segment accounted for $12.9 million of revenues, up 11% year over year.
Royalty Revenues
Royalty revenues totaled $13.9 million, up 3% on a year-over-year basis.
Assay Revenues
This segment reported revenues worth $51.3 million, up 41% on a year-over-year basis.
Service Revenues
Revenues in the segment amounted to $6.3 million, up 12% from the year-ago quarter.
Other
Other revenues came in at $3.1 million, up 28% from the prior-year quarter.
Financial Update
The company exited the fourth quarter with cash and cash equivalents of $309.4 million, up from $308.5 million on a sequential basis.
Cumulative net cash provided by operating activities at the end of the fourth quarter of 2020 came in at $49.9 million compared with $13.5 million in the year-ago period.
Margins
Gross profit in the reported quarter was $64.4 million, up 29.2% year over year. Gross margin was 57.9%, expanding 275 basis points (bps).
The company reported adjusted operating profit of $13.4 million, up 130% from the year-ago quarter’s figure. Adjusted operating margin came in at 12%, expanding 560 bps.
Guidance
Revenues for 2021 are reaffirmed to be around $480 million, indicating growth of more than15% from Luminex's reported 2020 tally. The Zacks Consensus Estimate for the same is pegged at $476.2 million
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month. The consensus estimate has shifted -28.63% due to these changes.
VGM Scores
Currently, Luminex has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Luminex has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.