DryShips Beats Up on Analysts Yet Again

Seth Jayson, The Motley Fool
Updated

DryShips (NAS: DRYS) reported earnings on May 22. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended March 31 (Q1), DryShips beat slightly on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly. Non-GAAP loss per share shrank. GAAP loss per share grew.


Gross margins dropped, operating margins increased, net margins dropped.

Revenue details
 DryShips recorded revenue of $319.7 million. The four analysts polled by S&P Capital IQ predicted revenue of $315.3 million on the same basis. GAAP reported sales were 29% higher than the prior-year quarter's $247.5 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at -$0.10. The eight earnings estimates compiled by S&P Capital IQ averaged -$0.10 per share. Non-GAAP EPS were -$0.10 for Q1 against -$0.11 per share for the prior-year quarter. GAAP EPS were -$0.30 for Q1 against -$0.12 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 46.7%, 810 basis points worse than the prior-year quarter. Operating margin was 9.5%, 90 basis points better than the prior-year quarter. Net margin was -36.5%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $336.9 million. On the bottom line, the average EPS estimate is -$0.03.

Next year's average estimate for revenue is $1.42 billion. The average EPS estimate is -$0.17.

Investor sentiment
 The stock has a three-star rating (out of five) at Motley Fool CAPS, with 2,878 members out of 3,237 rating the stock outperform, and 359 members rating it underperform. Among 489 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 397 give DryShips a green thumbs-up, and 92 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DryShips is hold, with an average price target of $2.32.

Looking for alternatives to DryShips? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

The article DryShips Beats Up on Analysts Yet Again 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement

Advertisement