The 10-second takeaway
For the quarter ended June 30 (Q2), Enbridge beat expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share shrank significantly.
Gross margins expanded, operating margins dropped, and net margins shrank.
Enbridge logged revenue of $5.61 billion. The five analysts polled by S&P Capital IQ predicted revenue of $5.31 billion on the same basis. GAAP reported sales were 8.5% higher than the prior-year quarter's $5.16 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 $0.35. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.38 per share. GAAP EPS of $0.01 for Q2 were 97% 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 21.9%, 50 basis points better than the prior-year quarter. Operating margin was 4.7%, 460 basis points worse than the prior-year quarter. Net margin was 0.6%, 460 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $5.33 billion. On the bottom line, the average EPS estimate is $0.35.
Next year's average estimate for revenue is $23.79 billion. The average EPS estimate is $1.65.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 371 members rating the stock outperform and 11 members rating it underperform. Among 84 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 80 give Enbridge a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Enbridge is outperform, with an average price target of $38.17.
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