Eaton Vance's Earnings Beat Last Year's by 57%
Eaton Vance (NYS: EV) reported earnings on March 7. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Jan. 31 (Q1), Eaton Vance met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share improved significantly.
Gross margins grew, operating margins dropped, and net margins increased.
Eaton Vance notched revenue of $295.6 million. The nine analysts polled by S&P Capital IQ expected net sales of $294.0 million on the same basis. GAAP reported sales were 4.2% lower than the prior-year quarter's $308.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.47. The nine earnings estimates compiled by S&P Capital IQ averaged $0.44 per share on the same basis. GAAP EPS of $0.40 for Q1 were 33% higher than the prior-year quarter's $0.30 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 80.3%, 440 basis points better than the prior-year quarter. Operating margin was 31.4%, 80 basis points worse than the prior-year quarter. Net margin was 16.0%, 380 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $294.1 million. On the bottom line, the average EPS estimate is $0.46.
Next year's average estimate for revenue is $1.20 billion. The average EPS estimate is $1.89.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 105 members out of 122 rating the stock outperform, and 17 members rating it underperform. Among 32 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 30 give Eaton Vance a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Eaton Vance is hold, with an average price target of $25.21.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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