The Raleigh, North Carolina-based company posted quarterly net income of $51.4 million, or $0.28 per share, compared to $46.8 million, or $0.25 per share, in the year-ago quarter. As the hours tick down to reveal the newest numbers, recent insider transactions and the latest analyst opinions are leaving investors conflicted about what to do with this technology stock. Red Hat has a 62% positive surprise history (having topped the whisper in 31 of the 50 earnings reports for which we have data). Moreover, Contour Asset Management Llc have 4.29% of their stocks portfolio invested in the company for 1.15M shares.
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Red Hat, Inc. (NYSE:RHT) rose 2.34% or 1.66 points on Monday and made its way into the gainers of the day.
CFO Frank Calderoni noted that year-to-date operating cash flow was $329 million, up 21%. The open-source software company reported $0.47 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.44 by $0.03. Cantor Fitzgerald boosted their price objective on Red Hat to $90.00 and gave the stock a “buy” rating in a report on Thursday, June 18th. During the same quarter in the prior year, the firm earned $0.41 EPS. The firm had revenue of $504.10 million for the quarter, compared to analyst estimates of $494.63 million.
Red Hat also raised its guidance for the full fiscal year.
Red Hat (RHT) is expected to report earnings on Monday, September 21st. After adjusting for non-cash share-based compensation expense, amortization of intangible assets and transaction costs related to business combinations, as detailed in the tables below, non-GAAP operating income for the second quarter was $123 million, up 13% year-over-year.
Red Hat has a one-year low of 52.53 and a one-year high of 81.49. The 12-month mean target is $83.3, which means upside potential of 14.56% over the current price.
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-Revenue Change (Y-o-Y): 21.3%. The Business applies an open source development model. Oppenheimer restated a buy rating and issued a $88.00 price target (up from $80.00) on shares of Red Hat in a research note on Thursday, June 25th. The open source development model enables it to utilize the collective input, resources and knowledge of a worldwide community of subscribers who can collaborate to develop, preserve and enhance applications as the human-readable source code for that software is publicly accessible and adjustment is permitted by licenses.
