Cost Plus Posts a Surprise Profit
Cost Plus (NAS: CPWM) reported earnings on Wednesday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 28 (Q1), Cost Plus met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share grew to zero. The non-GAAP profit was a surprise, as analysts had predicted a loss.
Margins increased across the board.
Cost Plus tallied revenue of $214.6 million. The six analysts polled by S&P Capital IQ hoped for revenue of $213.1 million on the same basis. GAAP reported sales were 7.4% higher than the prior-year quarter's $199.7 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 $0.01. The six earnings estimates compiled by S&P Capital IQ predicted -$0.04 per share. GAAP EPS dropped to zero from the prior-year quarter's -$0.15.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 32.0%, 30 basis points better than the prior-year quarter. Operating margin was 1.4%, 130 basis points better than the prior-year quarter. Net margin was 0.0%, 170 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $212.1 million. On the bottom line, the average EPS estimate is -$0.20.
Next year's average estimate for revenue is $1.05 billion. The average EPS estimate is $1.20.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 69 members rating the stock outperform and 59 members rating it underperform. Among 36 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 17 give Cost Plus 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 Cost Plus is hold, with an average price target of $20.83.
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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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