CONSOL Energy Outruns Estimates Again

Seth Jayson, The Motley Fool
Updated

CONSOL Energy (NYS: CNX) reported earnings on Jan. 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), CONSOL Energy beat expectations on revenues and beat expectations on earnings per share.

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

Gross margins were steady, operating margins expanded, net margins grew.

Revenue details
CONSOL Energy recorded revenue of $1.54 billion. The 11 analysts polled by S&P Capital IQ predicted sales of $1.45 billion. Sales were 13% higher than the prior-year quarter's $1.36 billion.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $0.70. The 20 earnings estimates compiled by S&P Capital IQ averaged $0.62 per share on the same basis. GAAP EPS of $0.73 for Q4 were 83% higher than the prior-year quarter's $0.46 per share.

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Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 37.1%, about the same as the prior-year quarter. Operating margin was 19.2%, 270 basis points better than the prior-year quarter. Net margin was 12.7%, 510 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $1.45 billion. On the bottom line, the average EPS estimate is $0.67.

Next year's average estimate for revenue is $5.82 billion. The average EPS estimate is $2.74.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 633 members out of 679 rating the stock outperform, and 46 members rating it underperform. Among 158 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 151 give CONSOL Energy a green thumbs-up, and seven give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on CONSOL Energy is outperform, with an average price target of $59.91.

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At the time thisarticle 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 don't 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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