(NATI) - National Instruments Corp. - seven out of the eight the company produced double-digit earnings surprises

National Instruments Corporation (NATI) topped analysts' earnings expectations in eight out of the past nine quarters. The company recently announced record revenues for the third quarter. Consensus estimates for both this year and next have been trending higher. NATI is increasing shareholder value through stock buybacks and dividend payments. This Zacks #1 Rank stock is currently yielding 0.76%, with a five-year average yield of 0.42%. Full Analysis National Instruments Corporation is a supplier of measurement and automation products that engineers and scientists use in a range of industries. The company sold products to more than 25,000 companies in 90 countries in 2005. NATI has direct operations in nearly 40 countries. NATI exceeded analysts' earnings expectations in eight out of the past nine quarters by an average margin of 14.1%. In seven out of the eight aforementioned quarters, the company managed to produce double-digit earnings surprises. Earnings per share grew 16% over the past five years and are forecasted to grow by an even greater magnitude going forward—20% over the next 3-5 years. The industry is projected to grow at a 16% clip. On Oct 23, NATI produced a 14.3% positive earnings surprise when it posted third-quarter profits of 24 cents per share. Analysts were calling for 21 cents. Compared to the prior-year period, earnings increased 33.3%. Revenues hit an all-time high, coming in at $164.1 million. The company posted revenues of $141.6 million in the third quarter of 2005. For the first nine months of the year, profits amounted to $48.3 million, versus $40.6 million for the first nine months of 2005. Revenues jumped 16.2% to $479.0 million from $412.2 million. NATI increased revenues and expanded gross margins for the past four years. The company grew profits for three years running, most recently by 26.5% in 2005. Consensus estimates for both this year and next have been on the rise. Profit forecasts for 2006 increased 3.5% to 89 cents over the past seven days, and reflect upward revisions by two analysts. Estimates for 2007 currently reside at $1.13 and represent a 4.6% jump over the same period of time. Two analysts also upped their estimates. Steadily increasing free cash flows over the past few years helped the company increase shareholder value through dividend payments and share buybacks. The Board of Directors recently declared a quarterly cash dividend of six cents per share. The dividend is payable on Nov 27 to shareholders of record as of Nov 6. NATI is currently yielding 0.76%, with a five-year average yield of 0.42%. During the third quarter, the company repurchased 608,000 shares of its common stock for a total cost of $16.5 million. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. | Blog Home| VitalStocks Home