Rentech Beats Up on Analysts Yet Again
Rentech (ASE: RTK) reported earnings on May 10. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Rentech crushed expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP loss per share shrank.
Margins grew across the board.
Rentech booked revenue of $38.6 million. The three analysts polled by S&P Capital IQ anticipated a top line of $29.7 million on the same basis. GAAP reported sales were 55% higher than the prior-year quarter's $24.9 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 -$0.02. The three earnings estimates compiled by S&P Capital IQ averaged -$0.02 per share. GAAP EPS were -$0.01 for Q1 versus -$0.03 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 58.7%, 1,780 basis points better than the prior-year quarter. Operating margin was 15.7%, 3,360 basis points better than the prior-year quarter. Net margin was -8.5%, 2,180 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $82.6 million. On the bottom line, the average EPS estimate is $0.06.
Next year's average estimate for revenue is $206.8 million. The average EPS estimate is $0.04.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 349 members out of 399 rating the stock outperform, and 50 members rating it underperform. Among 52 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 33 give Rentech a green thumbs-up, and 19 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rentech is outperform, with an average price target of $3.36.
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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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