Zacks: Analysts Anticipate Cerner Co. (CERN) Will Post Quarterly Sales of $1.33 Billion

Wall Street brokerages expect Cerner Co. (NASDAQ:CERN) to report $1.33 billion in sales for the current quarter, according to Zacks Investment Research. Eleven analysts have made estimates for Cerner’s earnings, with the lowest sales estimate coming in at $1.31 billion and the highest estimate coming in at $1.35 billion. Cerner posted sales of $1.26 billion during the same quarter last year, which would indicate a positive year over year growth rate of 5.6%. The firm is expected to issue its next quarterly earnings results after the market closes on Tuesday, February 6th.

According to Zacks, analysts expect that Cerner will report full year sales of $1.33 billion for the current year, with estimates ranging from $5.14 billion to $5.18 billion. For the next financial year, analysts forecast that the business will post sales of $5.59 billion per share, with estimates ranging from $5.51 billion to $5.65 billion. Zacks’ sales calculations are a mean average based on a survey of sell-side research firms that that provide coverage for Cerner.

Cerner (NASDAQ:CERN) last posted its earnings results on Thursday, October 26th. The company reported $0.61 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.62 by ($0.01). The business had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.29 billion. Cerner had a net margin of 13.37% and a return on equity of 18.03%. The business’s revenue was up 7.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.59 EPS.

A number of research firms recently weighed in on CERN. SunTrust Banks cut shares of Cerner from a “buy” rating to a “hold” rating in a research note on Tuesday, January 16th. They noted that the move was a valuation call. Zacks Investment Research cut shares of Cerner from a “buy” rating to a “hold” rating in a research note on Tuesday, January 16th. Royal Bank of Canada restated a “buy” rating on shares of Cerner in a research report on Wednesday, October 25th. Jefferies Group set a $79.00 price target on shares of Cerner and gave the company a “buy” rating in a research report on Friday, October 13th. Finally, Piper Jaffray Companies restated a “buy” rating and issued a $77.00 price target on shares of Cerner in a research report on Thursday, October 12th. Seventeen equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the stock. The company presently has a consensus rating of “Hold” and an average target price of $70.21.

In other news, CEO Clifford W. Illig sold 140,000 shares of the company’s stock in a transaction that occurred on Thursday, November 16th. The shares were sold at an average price of $65.52, for a total transaction of $9,172,800.00. Following the transaction, the chief executive officer now directly owns 1,229,719 shares in the company, valued at $80,571,188.88. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, President Zane M. Burke sold 50,000 shares of the stock in a transaction that occurred on Wednesday, December 13th. The shares were sold at an average price of $70.00, for a total transaction of $3,500,000.00. The disclosure for this sale can be found here. Insiders have sold 788,000 shares of company stock worth $52,190,800 over the last quarter. 13.11% of the stock is owned by company insiders.

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Laurel Wealth Advisors Inc. lifted its holdings in Cerner by 0.6% in the second quarter. Laurel Wealth Advisors Inc. now owns 3,909 shares of the company’s stock valued at $259,000 after buying an additional 24 shares during the period. Advisory Services Network LLC lifted its holdings in Cerner by 4.4% in the second quarter. Advisory Services Network LLC now owns 1,648 shares of the company’s stock valued at $110,000 after buying an additional 70 shares during the period. EagleClaw Capital Managment LLC lifted its holdings in Cerner by 0.4% in the second quarter. EagleClaw Capital Managment LLC now owns 26,050 shares of the company’s stock valued at $1,734,000 after buying an additional 100 shares during the period. Gyroscope Capital Management Group LLC lifted its holdings in Cerner by 6.5% in the second quarter. Gyroscope Capital Management Group LLC now owns 4,025 shares of the company’s stock valued at $268,000 after buying an additional 246 shares during the period. Finally, Frontier Wealth Management LLC lifted its holdings in Cerner by 0.4% in the second quarter. Frontier Wealth Management LLC now owns 66,108 shares of the company’s stock valued at $4,394,000 after buying an additional 265 shares during the period. Institutional investors and hedge funds own 81.85% of the company’s stock.

Cerner (NASDAQ:CERN) traded down $0.58 during midday trading on Monday, reaching $68.91. 3,157,800 shares of the company were exchanged, compared to its average volume of 1,811,054. The company has a market capitalization of $22,940.00, a PE ratio of 34.28, a P/E/G ratio of 2.05 and a beta of 0.94. Cerner has a twelve month low of $50.33 and a twelve month high of $73.86. The company has a debt-to-equity ratio of 0.11, a quick ratio of 2.75 and a current ratio of 2.77.

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About Cerner

Cerner Corporation (Cerner) is a supplier of healthcare information technology (HCIT). The Company offers a range of intelligent solutions and services that support the clinical, financial and operational needs of organizations of all sizes. The Company’s segments include Domestic and Global. The Domestic segment includes revenue contributions and expenditures associated with business activity in the United States.

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