DCP Midstream Partners Crushes Earnings Estimates
DCP Midstream Partners (NYS: DPM) reported earnings on May 8. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), DCP Midstream Partners met expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share increased.
Gross margins shrank, operating margins grew, net margins expanded.
DCP Midstream Partners reported revenue of $525.6 million. The four analysts polled by S&P Capital IQ predicted revenue of $531.1 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $465.3 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 $0.77. The six earnings estimates compiled by S&P Capital IQ anticipated $0.50 per share. GAAP EPS were $0.26 for Q1 compared to -$0.28 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 13.0%, 120 basis points worse than the prior-year quarter. Operating margin was 5.9%, 650 basis points better than the prior-year quarter. Net margin was 4.4%, 690 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $429.8 million. On the bottom line, the average EPS estimate is $0.21.
Next year's average estimate for revenue is $1.81 billion. The average EPS estimate is $1.41.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 201 members out of 212 rating the stock outperform, and 11 members rating it underperform. Among 71 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 70 give DCP Midstream Partners a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DCP Midstream Partners is outperform, with an average price target of $51.60.
Is DCP Midstream Partners 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 DCP Midstream Partners 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.