Zacks: Brokerages expect Avalara, Inc. (NYSE: AVLR) to post earnings of -$0.08 per share

Wall Street analysts expect Avalara, Inc. (NYSE:AVLR – Get Rating) to post ($0.08) earnings per share (EPS) for the current quarter, according to Zacks Investment Research. Eight analysts have released earnings estimates for Avalara, with estimates ranging from ($0.11) to ($0.02). Avalara reported earnings per share of $0.02 in the same quarter last year, indicating a negative 500% year-over-year growth rate. The company is due to release its next results on Monday, January 1.

According to Zacks, analysts expect Avalara to report full year earnings of ($0.07) per share for the current year, with EPS estimates ranging from ($0.29) to 0, $09. For the next fiscal year, analysts expect the company to post earnings of $0.14 per share, with EPS estimates ranging from ($0.27) to $0.74. Zacks earnings per share calculations are an average based on a survey of analysts who follow Avalara.

Avalara (NYSE:AVLR – Get Rating) last released quarterly earnings data on Thursday, May 5. The company reported earnings per share of $0.08 for the quarter, beating analyst consensus estimates of $0.12 ($0.20). Avalara had a negative net margin of 17.04% and a negative return on equity of 9.62%. The company posted revenue of $204.53 million for the quarter, compared to $198.07 million expected by analysts. In the same quarter last year, the company made ($0.30) earnings per share. The company’s revenue for the quarter increased 33.2% on an annual basis.

A number of research companies have weighed in on AVLR. Canaccord Genuity Group cut its price target on Avalara shares from $140.00 to $100.00 and set a “buy” rating on the stock in a Friday, May 6 report. Stifel Nicolaus cut his price target on Avalara shares from $135.00 to $115.00 and set a “buy” rating on the stock in a Monday, March 21 report. Needham & Company LLC cut its price target on Avalara shares from $210.00 to $150.00 and set a “buy” rating on the stock in a Friday, February 11 report. Raymond James cut his price target on Avalara shares from $220.00 to $155.00 and set an “outperform” rating on the stock in a Friday, Feb. 11 report. Finally, Citigroup began covering Avalara shares in a report on Tuesday, February 1. They issued a “buy” rating and a target price of $130.00 on the stock. Two investment analysts gave the stock a hold rating and fifteen gave the company a buy rating. According to data from MarketBeat, the stock currently has an average rating of “Buy” and a consensus price target of $150.81.

Separately, insider Ross Tennenbaum sold 744 shares in a trade that took place on Friday, May 6. The stock was sold at an average price of $69.26, for a total transaction of $51,529.44. Following the completion of the transaction, the insider now directly owns 85,350 shares of the company, valued at approximately $5,911,341. The sale was disclosed in a document filed with the SEC, accessible via this link. Additionally, insider Scott M. Mcfarlane sold 6,425 shares in a trade that took place on Monday, March 7. The stock was sold at an average price of $93.35, for a total value of $599,773.75. The disclosure of this sale can be found here. Over the past three months, insiders have sold 67,280 shares of the company valued at $6,038,930. Insiders of the company hold 21.10% of the shares of the company.

A number of hedge funds and other institutional investors have recently increased or reduced their stake in AVLR. Allspring Global Investments Holdings LLC bought a new position in Avalara in Q4, valued at approximately $238,704,000. Echo Street Capital Management LLC increased its stake in Avalara by 65.0% in Q1. Echo Street Capital Management LLC now owns 1,996,875 shares of the company valued at $198,709,000 after purchasing an additional 786,996 shares last quarter. Riverbridge Partners LLC increased its stake in Avalara to 95.5% in Q1. Riverbridge Partners LLC now owns 1,500,831 shares of the company valued at $149,348,000 after purchasing an additional 733,168 shares last quarter. Deccan Value Investors LP bought a new position in Avalara in Q4 valued at approximately $85,617,000. Finally, Norges Bank bought a new position in Avalara in Q4 valued at around $82,900,000. 92.20% of the shares are held by hedge funds and other institutional investors.

AVLR stock opened at $86.17 on Friday. The company has a current ratio of 3.15, a quick ratio of 3.15 and a debt ratio of 0.93. Avalara has a 12-month low of $67.59 and a 12-month high of $191.67. The company’s 50-day moving average is $86.92 and its two-hundred-day moving average is $106.73. The stock has a market capitalization of $7.57 billion, a P/E ratio of -58.62 and a beta of 0.94.

About Avalara (Get a rating)

Avalara, Inc, together with its subsidiaries, provides cloud-based solutions for transactional tax compliance worldwide. The company offers a suite of compliance solutions that enable businesses to tackle the complexity of transactional tax compliance; process transactions in real time; produce detailed records of transaction tax determinations; and reduce errors, audit exposure and total transaction tax compliance costs.

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