Dollar Thrifty Automotive Group Crushes Earnings Estimates
Dollar Thrifty Automotive Group (NYS: DTG) reported earnings on Feb. 21. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Dollar Thrifty Automotive Group met expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue grew slightly and GAAP earnings per share increased significantly.
Margins improved across the board.
Dollar Thrifty Automotive Group reported revenue of $353.7 million. The five analysts polled by S&P Capital IQ expected sales of $355.6 million on the same basis. GAAP reported sales were 1.3% higher than the prior-year quarter's $349.1 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 $1.09. The six earnings estimates compiled by S&P Capital IQ averaged $0.75 per share on the same basis. GAAP EPS of $1.08 for Q4 were 163% higher than the prior-year quarter's $0.41 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 33.7%, 800 basis points better than the prior-year quarter. Operating margin was 20.8%, 780 basis points better than the prior-year quarter. Net margin was 9.6%, 600 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $356.4 million. On the bottom line, the average EPS estimate is $1.26.
Next year's average estimate for revenue is $1.59 billion. The average EPS estimate is $5.07.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dollar Thrifty Automotive Group is outperform, with an average price target of $76.20.
Over the decades, small-cap stocks like Dollar Thrifty Automotive Group 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 Dollar Thrifty Automotive Group to My Watchlist.
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.