Plexus
The 10-second takeaway
For the quarter ended Sep. 29 (Q4), Plexus missed slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share shrank significantly.
Gross margins grew, operating margins grew, net margins dropped.
Revenue details
Plexus reported revenue of $594.8 million. The nine analysts polled by S&P Capital IQ anticipated sales of $603.9 million on the same basis. GAAP reported sales were 11% higher than the prior-year quarter's $538.1 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 $0.66. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.63 per share. GAAP EPS of $0.02 for Q4 were 96% lower than the prior-year quarter's $0.51 per share.
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 9.5%, 20 basis points better than the prior-year quarter. Operating margin was 4.6%, 50 basis points better than the prior-year quarter. Net margin was 0.1%, 330 basis points worse than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $617.0 million. On the bottom line, the average EPS estimate is $0.65.
Next year's average estimate for revenue is $2.54 billion. The average EPS estimate is $2.70.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 352 members out of 373 rating the stock outperform, and 21 members rating it underperform. Among 86 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 82 give Plexus 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 Plexus is hold, with an average price target of $33.13.
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