Can Steiner Leisure Beat These Numbers?

Steiner Leisure (Nasdaq: STNR  ) is expected to report Q4 earnings on Feb. 27. 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 Steiner Leisure's revenues will grow 7.0% and EPS will wither -10.8%.

The average estimate for revenue is $199.0 million. On the bottom line, the average EPS estimate is $0.74.

Revenue details
Last quarter, Steiner Leisure tallied revenue of $204.4 million. GAAP reported sales were 14% higher than the prior-year quarter's $179.4 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, EPS came in at $0.85. GAAP EPS of $0.85 for Q3 were 10% higher than the prior-year quarter's $0.77 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 20.2%, 210 basis points worse than the prior-year quarter. Operating margin was 7.7%, 10 basis points better than the prior-year quarter. Net margin was 6.2%, 40 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $800.5 million. The average EPS estimate is $3.48.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 102 members out of 108 rating the stock outperform, and six members rating it underperform. Among 32 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 31 give Steiner Leisure a green thumbs-up, and one give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Steiner Leisure is buy, with an average price target of $58.50.

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