STR Holdings Goes Negative
STR Holdings (NYS: STRI) reported earnings on March 13. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), STR Holdings met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank significantly and GAAP earnings per share shrank to a loss.
Margins shrank across the board.
STR Holdings chalked up revenue of $36.5 million. The five analysts polled by S&P Capital IQ expected to see revenue of $36.5 million on the same basis. GAAP reported sales were 63% lower than the prior-year quarter's $97.6 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 -$0.10. The two earnings estimates compiled by S&P Capital IQ forecast -$0.04 per share on the same basis. GAAP EPS were -$1.64 for Q4 against $0.31 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%, 2,630 basis points worse than the prior-year quarter. Operating margin was -11.9%, 3,530 basis points worse than the prior-year quarter. Net margin was -183.8%, 19,730 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $36.9 million. On the bottom line, the average EPS estimate is $0.05.
Next year's average estimate for revenue is $207.8 million. The average EPS estimate is $0.48.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 49 members out of 54 rating the stock outperform, and five members rating it underperform. Among nine CAPS All-Star picks (recommendations by the highest-ranked CAPS members), seven give STR 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 STR Holdings is hold, with an average price target of $9.84.
Over the decades, small-cap stocks, like STR Holdings 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 STR Holdings 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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.