Multi-Color Catches Analysts Sleeping Again
Multi-Color (NAS: LABL) reported earnings on Feb. 8. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q3), Multi-Color missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share shrank significantly.
Margins dropped across the board.
Multi-Color reported revenue of $146.4 million. The one analyst polled by S&P Capital IQ expected a top line of $153.1 million. GAAP sales were 76% higher than the prior-year quarter's $83.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.31. The one earnings estimate compiled by S&P Capital IQ forecasts $0.39 per share on the same basis. GAAP EPS of $0.10 for Q3 were 72% lower than the prior-year quarter's $0.36 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 16.1%, 330 basis points worse than the prior-year quarter. Operating margin was 4.9%, 510 basis points worse than the prior-year quarter. Net margin was 1.1%, 460 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $156.2 million. On the bottom line, the average EPS estimate is $0.44.
Next year's average estimate for revenue is $512.6 million. The average EPS estimate is $1.98.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 167 members out of 173 rating the stock outperform, and six members rating it underperform. Among 53 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 53 give Multi-Color a green thumbs-up.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Multi-Color is hold, with an average price target of $29.00.
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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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