Solera Holdings Inc – Aggressive Growth – Zacks Rank Buy
Source: http://www.zacks.com/commentary/9456/Solera+Holdings+Inc+-+Aggressive+Growth+-+Zacks+Rank+BuyPosted on Thursday, December 11th, 2008 | In Stocks to Watch
Solera Holdings, Inc. (SLH) just announced its fourth consecutive earnings surprise and completed an acquisition that will expand its service in Brazil.
Company Description
| < ?DART(15);?> |
Solera Holdings is an integrated group of leading automotive claims solutions companies with the vision to continuously improve the automobile insurance claims processing industry worldwide. The Solera companies help customers automate and simplify their automobile claims process and improve their ability to monitor and manage their businesses through data reporting and analytics.
The company is headquartered in San Diego, California, with roughly 2,000 employees, and a market cap of $1.7 billion.
Brazilian Expansion
On Nov 19 Solera completed the acquisition of Inpart Servicos, an electronic exchange for replacement vehicle parts in Brazil. Inpart has a wide network of suppliers and customers,
Fourth Consecutive Surprise
Solera reported its fourth consecutive earnings surprise on Nov 5 with EPS coming in at 41 cents. Headed into the first-quarter announcement, analysts were expecting earnings of 33 cents, good enough for a 24% surprise.
First-quarter revenue was $143 million, up 15% on a year-over-year basis. The increase in revenue was driven by strong organic growth which saw revenues rise 9.2%..
2009 Outlook
Solera also issued forward looking guidance for fiscal-year 2009, which ends in June 2009, including net income per share between $1.56 and $1.60. The low end of the forecast, $1.56, represents a 57% increase over 2008, which came in at 99 cents.
Full-year estimates have climbed across the board within the past 90 days. The consensus estimate for the current year is $1.56 cents per share, up 26% from $1.35 3 months ago.
The Chart
Despite the strong sell off over the past few months, shares of SLH have been out performing the market almost all year. Take a look at the comparative chart below, which shows the movement of SLH relative to the S&P 500
“SLH” Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research
Last 5 posts by Zacks Market Commentaries
- CNP & FPL Ink Pipeline Deal - Analyst Blog - November 20th, 2009
- Buffett Borrows for Rail Acquisition - Analyst Blog - November 20th, 2009
- Stone Energy Outdoes Estimates - Analyst Blog - November 20th, 2009
- Smucker's Beats, Raises Guidance - Analyst Blog - November 20th, 2009
- GameStop Meets Expectations - Analyst Blog - November 20th, 2009
automobile insurance claims processing industry;, Brazil, California, cent;, Inpart;, integrated group;, San Diego, Solera Holdings Inc.;, Sp 500, Stocks to Watch, USD, Zacks Market Commentaries
 About Zacks Market Commentaries (http://www.zacks.com/)
Zacks Market Commentaries |
No recommendations, either expressed or implied, are being made to buy, sell, hold or short any of the mentioned stocks. No legal, tax or accounting advice is expressed or implied. Always contact your attorney, CPA, or tax advisor before acting on any legal or tax issues. StraightStocks.com is not responsible for the content, products, or services of any of the advertisers on this site. StraightStocks.com receives compensation from advertisers on this blog. Services and products referred to herein are trademarks, registered trademarks, servicemarks, and/or registered servicemarks of their respective trademark or servicemark owners.