The Gory Details on Wynn Resorts' Double Miss
Wynn Resorts (NAS: WYNN) reported earnings on May 7. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Wynn Resorts missed slightly on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share shrank.
Margins shrank across the board.
Wynn Resorts tallied revenue of $1.31 billion. The 15 analysts polled by S&P Capital IQ expected a top line of $1.34 billion on the same basis. GAAP reported sales were 4.2% higher than the prior-year quarter's $1.26 billion.
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 $1.33. The 20 earnings estimates compiled by S&P Capital IQ predicted $1.40 per share. GAAP EPS of $1.23 for Q1 were 12% lower than the prior-year quarter's $1.39 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 37.1%, 120 basis points worse than the prior-year quarter. Operating margin was 19.8%, 270 basis points worse than the prior-year quarter. Net margin was 10.7%, 310 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.40 billion. On the bottom line, the average EPS estimate is $1.65.
Next year's average estimate for revenue is $5.53 billion. The average EPS estimate is $6.07.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 894 members out of 1,244 rating the stock outperform, and 350 members rating it underperform. Among 296 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 228 give Wynn Resorts a green thumbs-up, and 68 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Wynn Resorts is outperform, with an average price target of $143.95.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Wynn Resorts. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Wynn Resorts 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.