Pioneer Natural Resources Goes Negative

Pioneer Natural Resources (NYS: PXD) reported earnings on Feb. 6. Here are the numbers you need to know.

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

Compared to the prior-year quarter, revenue grew significantly, and GAAP earnings per share contracted to a loss.

Gross margins grew, operating margins improved, net margins dropped.

Revenue details
Pioneer Natural Resources tallied revenue of $629.1 million. The 11 analysts polled by S&P Capital IQ expected sales of $632.3 million. Sales were 96% higher than the prior-year quarter's $485.6 million.


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

EPS details
Non-GAAP EPS came in at $1.35. The 24 earnings estimates compiled by S&P Capital IQ averaged $0.86 per share on the same basis. GAAP EPS were -$0.93 for Q3 compared to $0.67 per share for the prior-year quarter.


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 75.4%, 460 basis points better than the prior-year quarter. Operating margin was -20.2%, 1,710 basis points better than the prior-year quarter. Net margin was -15.8%, 3,810 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $699.6 million. On the bottom line, the average EPS estimate is $1.02.

Next year's average estimate for revenue is $2.56 billion. The average EPS estimate is $3.76.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 279 members rating the stock outperform, and 28 members rating it underperform. Among 94 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 87 give Pioneer Natural Resources 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 Pioneer Natural Resources is outperform, with an average price target of $114.42.

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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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