Newfield Exploration Beats Analyst Estimates on EPS

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Newfield Exploration (NYS: NFX) reported earnings on April 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Newfield Exploration met expectations on revenue and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share expanded.


Gross margin shrank, operating margin grew, and net margin improved.

Revenue details
Newfield Exploration tallied revenue of $678.0 million. The nine analysts polled by S&P Capital IQ expected to see a top line of $674.6 million on the same basis. GAAP reported sales were 24% higher than the prior-year quarter's $545.0 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Non-GAAP EPS came in at $0.91. The 20 earnings estimates compiled by S&P Capital IQ forecast $0.78 per share on the same basis. GAAP EPS were $0.86 for Q1 versus -$0.13 per share for the prior-year quarter.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 69.0%, 90 basis points worse than the prior-year quarter. Operating margin was 29.1%, 2,980 basis points better than the prior-year quarter. Net margin was 17.1%, 2,020 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $663.5 million. On the bottom line, the average EPS estimate is $0.74.

Next year's average estimate for revenue is $2.74 billion. The average EPS estimate is $3.16.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 306 members out of 325 rating the stock outperform, and 19 members rating it underperform. Among 90 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 87 give Newfield Exploration a green thumbs-up, and three give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Newfield Exploration is outperform, with an average price target of $47.09.

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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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