Needham & Company Maintains a 'Buy' on Majesco Entertainment (COOL); Strong Zumba Fitness Sales Lead to Impressive Top-Line Growth
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Price: $20.37 -0.15%
Rating Summary:
1 Buy, 2 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
1 Buy, 2 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Buy' on Majesco Entertainment (NASDAQ: COOL) price target of $4.00.
Analyst, Sean McGowan, said, "COOL reported 1Q ’12 sales that were much better than expected, while EPS were slightly below consensus, but above our estimate. Sales rose 37% to $66.2 mm from $48.5 mm last year. The robust growth was fueled by sales of Zumba Fitness and Zumba Fitness 2. Over 25% of sales came from the international marketplace which was up significantly YoY to $16.7 mm. Non-GAAP EPS were $0.18 versus consensus expectations of $0.20; we were expecting EPS of $0.15. Majesco released Zumba Fitness 2 for the Wii in November, and the title has already sold more than 1 mm units; the Zumba franchise has sold 6 mm units overall. The company announced its first internally developed social game, Mini Putt Park, will debut on Facebook sometime in the next few weeks."
Needham raises FY12 EPS estimate from $0.30 to $0.33 and revs from $130 mln to $146.2 mln.
For an analyst ratings summary and ratings history on Majesco Entertainment click here. For more ratings news on Majesco Entertainment click here.
Shares of Majesco Entertainment closed at $2.97 yesterday.
Analyst, Sean McGowan, said, "COOL reported 1Q ’12 sales that were much better than expected, while EPS were slightly below consensus, but above our estimate. Sales rose 37% to $66.2 mm from $48.5 mm last year. The robust growth was fueled by sales of Zumba Fitness and Zumba Fitness 2. Over 25% of sales came from the international marketplace which was up significantly YoY to $16.7 mm. Non-GAAP EPS were $0.18 versus consensus expectations of $0.20; we were expecting EPS of $0.15. Majesco released Zumba Fitness 2 for the Wii in November, and the title has already sold more than 1 mm units; the Zumba franchise has sold 6 mm units overall. The company announced its first internally developed social game, Mini Putt Park, will debut on Facebook sometime in the next few weeks."
Needham raises FY12 EPS estimate from $0.30 to $0.33 and revs from $130 mln to $146.2 mln.
For an analyst ratings summary and ratings history on Majesco Entertainment click here. For more ratings news on Majesco Entertainment click here.
Shares of Majesco Entertainment closed at $2.97 yesterday.
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