Select Medical Holdings (NYS: SEM) filed its 10-K on Mar. 2. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Select Medical Holdings beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share increased significantly.
Margins expanded across the board.
Select Medical Holdings reported revenue of $718.4 million. The eight analysts polled by S&P Capital IQ anticipated revenue of $689.7 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $637.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.25. The nine earnings estimates compiled by S&P Capital IQ anticipated $0.19 per share. GAAP EPS of $0.25 for Q4 were 92% higher than the prior-year quarter's $0.13 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 20.6%, 70 basis points better than the prior-year quarter. Operating margin was 9.3%, 50 basis points better than the prior-year quarter. Net margin was 5.1%, 180 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $719.6 million. On the bottom line, the average EPS estimate is $0.25.
Next year's average estimate for revenue is $2.89 billion. The average EPS estimate is $0.88.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 40 members out of 44 rating the stock outperform, and four members rating it underperform. Among 11 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), nine give Select Medical Holdings a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Select Medical Holdings is outperform, with an average price target of $9.56.
The health-care investing landscape is littered with also-rans and a few major winners. Is Select Medical Holdings prepared for the future? Read "Discover the Next Rule-Breaking Multibagger" to learn about a company Fool co-founder David Gardner believes will deliver amazing returns during the next few years. Click here for instant access to this free report.
Add Select Medical Holdings 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.