The Gory Details of SanDisk's Earnings Miss
SanDisk (NAS: SNDK) reported earnings on April 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 1 (Q1), SanDisk met expectations on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped significantly.
Margins shrank across the board.
SanDisk notched revenue of $1.21 billion. The 20 analysts polled by S&P Capital IQ expected to see revenue of $1.21 billion on the same basis. GAAP reported sales were 6.8% lower than the prior-year quarter's $1.29 billion.
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 $0.63. The 20 earnings estimates compiled by S&P Capital IQ predicted $0.71 per share on the same basis. GAAP EPS of $0.46 for Q1 were 50% lower than the prior-year quarter's $0.92 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 35.7%, 730 basis points worse than the prior-year quarter. Operating margin was 15.9%, 1,110 basis points worse than the prior-year quarter. Net margin was 9.5%, 780 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.09 billion. On the bottom line, the average EPS estimate is $0.85.
Next year's average estimate for revenue is $5.25 billion. The average EPS estimate is $3.93.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,942 members out of 2,084 rating the stock outperform, and 143 members rating it underperform. Among 471 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 443 give SanDisk a green thumbs-up, and 28 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on SanDisk is outperform, with an average price target of $58.95.
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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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