Does The Street Have McDermott International Figured Out?
McDermott International (NYS: MDR) is expected to report Q4 earnings on Feb. 28. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict McDermott International's revenues will increase 19.3% and EPS will grow 475.0%.
The average estimate for revenue is $973.5 million. On the bottom line, the average EPS estimate is $0.23.
Revenue details
Last quarter, McDermott International chalked up revenue of $1.03 billion. GAAP reported sales were 17% higher than the prior-year quarter's $879.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS details
Last quarter, EPS came in at $0.21. GAAP EPS of $0.21 for Q3 were 320% higher than the prior-year quarter's $0.05 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Recent performance
For the preceding quarter, gross margin was 13.5%, 480 basis points better than the prior-year quarter. Operating margin was 8.5%, 520 basis points better than the prior-year quarter. Net margin was 4.9%, 370 basis points better than the prior-year quarter.
Looking ahead
The full year's average estimate for revenue is $3.62 billion. The average EPS estimate is $0.91.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,286 members out of 1,318 rating the stock outperform, and 32 members rating it underperform. Among 305 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 299 give McDermott International 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 McDermott International is outperform, with an average price target of $15.92.
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The article Does The Street Have McDermott International Figured Out? originally appeared on Fool.com.
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. The Motley Fool has no position in any of the stocks mentioned. 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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