Eagle Materials Increases Sales but Misses Estimates on Earnings
Eagle Materials (NYS: EXP) reported earnings on May 16. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q4), Eagle Materials beat slightly on revenue and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased.
Margins grew across the board.
Eagle Materials tallied revenue of $116.8 million. The 10 analysts polled by S&P Capital IQ foresaw revenue of $114.9 million on the same basis. GAAP reported sales were 22% higher than the prior-year quarter's $95.4 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 $0.20. The 12 earnings estimates compiled by S&P Capital IQ predicted $0.23 per share. GAAP EPS were $0.20 for Q4 against -$0.25 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 12.8%, 1,520 basis points better than the prior-year quarter. Operating margin was 7.3%, 1,520 basis points better than the prior-year quarter. Net margin was 7.7%, 1,900 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $146.7 million. On the bottom line, the average EPS estimate is $0.39.
Next year's average estimate for revenue is $573.2 million. The average EPS estimate is $1.42.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 351 members out of 382 rating the stock outperform, and 31 members rating it underperform. Among 128 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 122 give Eagle Materials a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Eagle Materials is hold, with an average price target of $35.33.
Over the decades, small-cap stocks like Eagle Materials have provided market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Eagle Materials 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.