The 10-second takeaway
For the quarter ended June 16 (Q1), SUPERVALU missed estimates on revenue and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP earnings per share shrank significantly.
Margins shrank across the board.
SUPERVALU booked revenue of $10.59 billion. The 11 analysts polled by S&P Capital IQ anticipated a top line of $10.81 billion on the same basis. GAAP reported sales were 4.7% lower than the prior-year quarter's $11.11 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 $0.19. The 16 earnings estimates compiled by S&P Capital IQ predicted $0.38 per share. GAAP EPS of $0.19 for Q1 were 46% lower than the prior-year quarter's $0.35 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 22.0%, 10 basis points worse than the prior-year quarter. Operating margin was 2.0%, 50 basis points worse than the prior-year quarter. Net margin was 0.4%, 30 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $8.17 billion. On the bottom line, the average EPS estimate is $0.29.
Next year's average estimate for revenue is $35.19 billion. The average EPS estimate is $1.29.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 928 members out of 995 rating the stock outperform, and 67 members rating it underperform. Among 254 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 233 give SUPERVALU a green thumbs-up, and 21 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on SUPERVALU is hold, with an average price target of $6.94.
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