Charting Hovnanian Enterprises' Latest Earnings Release
Hovnanian Enterprises (NYS: HOV) reported earnings on March 7. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Jan. 31 (Q1), Hovnanian Enterprises met expectations on revenue and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP loss per share contracted.
Gross margin dropped, operating margin dropped, and net margin grew.
Hovnanian Enterprises reported revenue of $269.3 million. The seven analysts polled by S&P Capital IQ anticipated revenue of $273.0 million on the same basis. GAAP reported sales were 6.7% higher than the prior-year quarter's $252.6 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 -$0.36. The six earnings estimates compiled by S&P Capital IQ anticipated -$0.45 per share on the same basis. GAAP EPS were -$0.17 for Q1 against -$0.82 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 11.6%, 650 basis points worse than the prior-year quarter. Operating margin was -7.5%, 340 basis points worse than the prior-year quarter. Net margin was -6.8%, 1,860 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $291.1 million. On the bottom line, the average EPS estimate is -$0.42.
Next year's average estimate for revenue is $1.26 billion. The average EPS estimate is -$1.51.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 469 members out of 1,040 rating the stock outperform, and 571 members rating it underperform. Among 320 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 100 give Hovnanian Enterprises a green thumbs-up, and 220 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hovnanian Enterprises is underperform, with an average price target of $1.50.
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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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