TETRA Technologies Earnings Preview

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Watch TETRA Technologies' (NYS: TTI) earnings report to see if it can beat analyst expectations for the third consecutive quarter. The company will unveil its latest earnings Friday. Tetra Technologies is an oil and gas company.

What analysts say:

  • Buy, sell, or hold?: The majority of analysts back TETRA Technologies as a buy. But with 62.5% of analysts rating it a buy, TETRA Technologies is still below the mean analyst rating of its nearest 10 competitors, which average 68.1% buys. Analysts don't like TETRA Technologies as much as competitor Basic Energy Services overall. Nine out of 14 analysts rate Basic Energy Services a buy compared with five of eight for TETRA Technologies. Analysts haven't adjusted their rating of TETRA Technologies for the past three months.
  • Revenue Forecasts: On average, analysts predict $202.8 million in revenue this quarter. That would represent a decline of 4.3% from the year-ago quarter.
  • Wall Street Earnings Expectations: The average analyst estimate is earnings of $0.18 per share. Estimates range from $0.14 to $0.19.

What our community says:
CAPS All-Stars are solidly backing the stock with 99.1% granting it an "outperform" rating. The community at large backs the All-Stars with 97.7% giving it a rating of "outperform." Fools are bullish on TETRA Technologies, though the message boards have been quiet lately with only 91 posts in the past 30 days. TETRA Technologies has a bullish CAPS rating of five out of five stars that is about on par with the Fool community assessment.

Management:
The company's gross margin shrank by 4.6 percentage points in the last quarter. Revenue fell 2.7% while cost of sales rose 2.8% to $199.3 million from a year earlier.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters.

Quarter

Q2

Q1

Q4

Q3

Gross Margin

15.2%

11.8%

(31.9%)

13.6%

Operating Margin

2.9%

(0.6%)

(44.9%)

2.0%

Net Margin

12.9%

(1.1%)

(29.5%)

0.1%

For all our TETRA Technologies-specific analysis, including earnings and beyond, add TETRA Technologies to My Watchlist.

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At the time this article was published

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