AMR Catches Analysts Sleeping Again

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AMR (OTCPK: AAMRQ) reported earnings on July 18. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), AMR met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share increased significantly. GAAP earnings per share expanded.


Margins expanded across the board.

Revenue details
AMR logged revenue of $6.45 billion. The two analysts polled by S&P Capital IQ predicted net sales of $6.52 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.

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 $0.92. The one earnings estimate compiled by S&P Capital IQ predicted $0.80 per share. Non-GAAP EPS of $0.92 for Q2 were 229% higher than the prior-year quarter's $0.28 per share. GAAP EPS were $0.59 for Q2 versus -$0.72 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 28.1%, 460 basis points better than the prior-year quarter. Operating margin was 7.8%, 400 basis points better than the prior-year quarter. Net margin was 3.4%, 710 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $6.66 billion. On the bottom line, the average EPS estimate is $0.82.

Next year's average estimate for revenue is $25.53 billion. The average EPS estimate is $2.62.

Investor sentiment
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 602 members out of 1,035 rating the stock outperform, and 433 members rating it underperform. Among 221 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 108 give AMR a green thumbs-up, and 113 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AMR is outperform, with an average price target of $9.50.

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The article AMR Catches Analysts Sleeping 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.

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