Exponent Outruns Estimates Again
Exponent (NAS: EXPO) reported earnings on Feb. 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 30 (Q4), Exponent beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share improved significantly.
Margins expanded across the board.
Exponent booked revenue of $60.5 million. The five analysts polled by S&P Capital IQ anticipated sales of $58.0 million. Sales were 8.5% higher than the prior-year quarter's $54.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
EPS came in at $0.54. The four earnings estimates compiled by S&P Capital IQ predicted $0.43 per share. GAAP EPS of $0.54 for Q4 were 32% higher than the prior-year quarter's $0.41 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 89.1%, 5,940 basis points better than the prior-year quarter. Operating margin was 16.5%, 150 basis points better than the prior-year quarter. Net margin was 11.4%, 150 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $66.7 million. On the bottom line, the average EPS estimate is $0.53.
Next year's average estimate for revenue is $258.9 million. The average EPS estimate is $2.22.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 227 members out of 232 rating the stock outperform, and five members rating it underperform. Among 76 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 75 give Exponent a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Exponent is outperform, with an average price target of $47.00.
Over the decades, small-cap stocks, like Exponent have provided market-beating returns, provided they're value priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
Add Exponent to My Watchlist.
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 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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.