The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Leucadia National whiffed on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share expanded.
Gross margins dropped, operating margins dropped, net margins grew.
Leucadia National booked revenue of $2.19 billion. The one analyst polled by S&P Capital IQ wanted to see sales of $2.65 billion on the same basis. GAAP reported sales were much higher than the prior-year quarter's $236.1 million.
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 $0.44. The two earnings estimates compiled by S&P Capital IQ forecast $1.24 per share. GAAP EPS were $0.43 for Q3 against -$1.19 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 12.8%, 4,340 basis points worse than the prior-year quarter. Operating margin was 7.5%, 1,240 basis points worse than the prior-year quarter. Net margin was 4.9%, 12,820 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $2.19 billion. On the bottom line, the average EPS estimate is $0.62.
Next year's average estimate for revenue is $9.41 billion. The average EPS estimate is $3.05.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,292 members out of 1,318 rating the stock outperform, and 26 members rating it underperform. Among 377 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 373 give Leucadia National 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 Leucadia National is hold, with an average price target of $24.00.
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