Peabody Energy Crushes Earnings Estimates
Peabody Energy (NYS: BTU) reported earnings on April 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Peabody Energy missed estimates on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share contracted.
Gross margins expanded, operating margins increased, and net margins shrank.
Peabody Energy reported revenue of $2.04 billion. The 13 analysts polled by S&P Capital IQ foresaw sales of $2.09 billion on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $1.74 billion.
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 $0.67. The 18 earnings estimates compiled by S&P Capital IQ predicted $0.54 per share on the same basis. GAAP EPS of $0.63 for Q1 were 3.1% lower than the prior-year quarter's $0.65 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 29.4%, 210 basis points better than the prior-year quarter. Operating margin was 18.1%, 130 basis points better than the prior-year quarter. Net margin was 8.5%, 160 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $2.13 billion. On the bottom line, the average EPS estimate is $0.55.
Next year's average estimate for revenue is $8.94 billion. The average EPS estimate is $2.89.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,944 members out of 2,023 rating the stock outperform, and 79 members rating it underperform. Among 381 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 363 give Peabody Energy a green thumbs-up, and 18 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Peabody Energy is outperform, with an average price target of $47.57.
Is Peabody Energy the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.
- Add Peabody Energy 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.