CA Technologies Earns 63 Cents Per Share

One of our more boring Buy List stocks, CA Technologies ($CA), is having a very good year so far. Through Tuesday’s trading the stock is up 11.69% on the year. After the close, the company reported better-than-expected earnings and reiterated its full-year forecast.

For the three months ending in December, CA Technologies earned 63 cents per share which was two cents better than the Street’s consensus. Quarterly revenue came in at $1.2 billion which was also ahead of the Street at $1.17 billion.

“I am very pleased to be a part of the CA Technologies team,” said CA Technologies CEO Mike Gregoire. “While we are encouraged by improvements we saw in the business during our third quarter, including increased demand for our Nimsoft, Infrastructure Management and Service Virtualization offerings, we know that we need to do more to accelerate innovation, gain market share and better differentiate our solutions in the marketplace.

“We also know there is room for improvement in our cost of sales and in the speed and intensity with which we pursue our objectives,” he continued. “Over the next few months we will perform a detailed diagnostic of where we are, and lay out a plan on how to achieve our strategic and financial goals.”

CA Technologies is currently sitting on a cash horde of just over $2.5 billion, which is more than $5.50 per share. The company reaffirmed its fiscal-year earnings-per-share forecast of $2.36 to $2.44. CA’s fiscal year ends in March.

The stock is up 25 cents in the after-hours market.

Posted by on January 22nd, 2013 at 7:24 pm


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