Briggs & Stratton Earnings Preview

Updated

Briggs & Stratton (NYS: BGG) beat estimates by $0.08 last quarter and investors are hoping it can beat them again. The company will unveil its latest earnings on Thursday. Briggs & Stratton is a producer of air-cooled gasoline engines for outdoor power equipment. It designs, manufactures, markets, and services these products for original equipment manufacturers worldwide.

What analysts say

What our community says
The majority of CAPS All-Stars see BGG as a good bet, with 69% assigning it an outperform rating. The majority of the Fools are in agreement with the All-Stars as 74.6% give it an outperform rating. Fools are bullish on Briggs & Stratton, though the message boards have been quiet lately with only 61 posts in the past 30 days. The bullish CAPS rating of four out of five stars for Briggs & Stratton outpaces Fool enthusiasm for the company.

Management
Revenue has now gone up for three straight quarters.

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

Q3

Q2

Q1

Q4

Gross Margin

20.8%

17.4%

18.6%

18.9%

Operating Margin

10.9%

0.8%

(2.5%)

4.7%

Net Margin

7.2%

(0.3%)

(2.4%)

3.0%

One final thing: If you want to keep tabs on Briggs & Stratton movements, and for more analysis on the company, make sure you add it to your watchlist.

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At the time thisarticle was published

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