Shaw Group Misses Where It Counts
Shaw Group (NYS: SHAW) reported earnings on July 10. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended May 31 (Q3), Shaw Group beat expectations on revenue and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP loss per share dropped.
Margins improved across the board.
Shaw Group booked revenue of $1.56 billion. The 13 analysts polled by S&P Capital IQ anticipated a top line of $1.49 billion on the same basis. GAAP reported sales were 4.8% higher than the prior-year quarter's $1.49 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 -$0.09. The nine earnings estimates compiled by S&P Capital IQ predicted $0.58 per share. GAAP EPS were -$0.24 for Q3 compared to -$0.89 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 3.6%, 290 basis points better than the prior-year quarter. Operating margin was -0.1%, 400 basis points better than the prior-year quarter. Net margin was -1.0%, 370 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.46 billion. On the bottom line, the average EPS estimate is $1.23.
Next year's average estimate for revenue is $6.01 billion. The average EPS estimate is $2.19.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 549 members out of 586 rating the stock outperform, and 37 members rating it underperform. Among 115 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 102 give Shaw Group a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Shaw Group is outperform, with an average price target of $34.57.
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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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