Analysts Anticipate Cerner Co. (NASDAQ:CERN) to Post $0.89 EPS

Brokerages predict that Cerner Co. (NASDAQ:CERNGet Rating) will report $0.89 earnings per share for the current fiscal quarter, according to Zacks. Three analysts have made estimates for Cerner’s earnings. The highest EPS estimate is $0.96 and the lowest is $0.86. Cerner reported earnings per share of $0.80 during the same quarter last year, which would indicate a positive year over year growth rate of 11.3%. The firm is scheduled to issue its next quarterly earnings report on Monday, January 1st.

On average, analysts expect that Cerner will report full year earnings of $3.68 per share for the current year, with EPS estimates ranging from $3.55 to $3.81. For the next fiscal year, analysts anticipate that the company will post earnings of $4.01 per share, with EPS estimates ranging from $3.80 to $4.20. Zacks’ earnings per share averages are a mean average based on a survey of sell-side analysts that cover Cerner.

Cerner (NASDAQ:CERNGet Rating) last released its quarterly earnings results on Tuesday, May 3rd. The company reported $0.78 earnings per share for the quarter, beating the consensus estimate of $0.75 by $0.03. Cerner had a return on equity of 22.86% and a net margin of 10.15%. The company had revenue of $1.43 billion for the quarter, compared to analyst estimates of $1.47 billion. During the same period in the previous year, the company posted $0.76 earnings per share. The firm’s revenue was up 3.0% on a year-over-year basis.

CERN has been the topic of several research reports. Argus lowered Cerner from a “buy” rating to a “hold” rating in a research report on Monday, April 11th. StockNews.com assumed coverage on Cerner in a report on Thursday, March 31st. They issued a “buy” rating on the stock. Eight research analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $87.38.

Shares of NASDAQ CERN traded up $0.13 during mid-day trading on Friday, hitting $94.68. 2,733,574 shares of the stock traded hands, compared to its average volume of 3,585,607. The company has a debt-to-equity ratio of 0.41, a quick ratio of 1.77 and a current ratio of 1.79. Cerner has a 52 week low of $69.08 and a 52 week high of $94.74. The company has a market cap of $27.85 billion, a price-to-earnings ratio of 47.58, a PEG ratio of 2.35 and a beta of 0.77. The stock has a fifty day moving average price of $93.76 and a 200-day moving average price of $89.50.

The firm also recently declared a quarterly dividend, which was paid on Tuesday, April 19th. Stockholders of record on Monday, March 28th were issued a dividend of $0.27 per share. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.14%. The ex-dividend date of this dividend was Friday, March 25th. Cerner’s payout ratio is currently 54.27%.

In related news, CAO Michael R. Battaglioli sold 5,288 shares of the company’s stock in a transaction on Wednesday, May 4th. The stock was sold at an average price of $94.09, for a total transaction of $497,547.92. Following the completion of the sale, the chief accounting officer now owns 3,412 shares in the company, valued at $321,035.08. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Tracy L. Platt sold 7,769 shares of the company’s stock in a transaction on Friday, March 11th. The shares were sold at an average price of $93.40, for a total value of $725,624.60. The disclosure for this sale can be found here. Corporate insiders own 0.12% of the company’s stock.

A number of institutional investors have recently bought and sold shares of CERN. Goldman Sachs Group Inc. increased its position in Cerner by 395.7% during the first quarter. Goldman Sachs Group Inc. now owns 9,219,397 shares of the company’s stock valued at $862,567,000 after acquiring an additional 7,359,347 shares during the last quarter. JPMorgan Chase & Co. increased its position in Cerner by 407.6% in the first quarter. JPMorgan Chase & Co. now owns 6,499,895 shares of the company’s stock worth $608,131,000 after buying an additional 5,219,392 shares in the last quarter. Norges Bank purchased a new stake in Cerner in the fourth quarter worth about $254,636,000. Renaissance Technologies LLC increased its position in Cerner by 3,291.4% in the first quarter. Renaissance Technologies LLC now owns 2,367,304 shares of the company’s stock worth $221,485,000 after buying an additional 2,297,500 shares in the last quarter. Finally, Alpine Associates Management Inc. purchased a new stake in Cerner in the fourth quarter worth about $185,871,000. Institutional investors own 82.23% of the company’s stock.

Cerner Company Profile (Get Rating)

Cerner Corporation, together with its subsidiaries, provides health care information technology solutions and tech-enabled services in the United States and internationally. It offers Cerner Millennium architecture, a person-centric computing framework, which includes clinical, financial, and management information systems that allow providers to access an individual's electronic health record (EHR) at the point of care, and organizes and delivers information for physicians, nurses, laboratory technicians, pharmacists, front- and back-office professionals, and consumers.

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