Stewart Information Services
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Stewart Information Services beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased significantly.
Margins grew across the board.
Stewart Information Services reported revenue of $521.0 million. The one analyst polled by S&P Capital IQ looked for revenue of $507.3 million on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $445.1 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 $1.06. The two earnings estimates compiled by S&P Capital IQ forecast $1.03 per share. GAAP EPS of $2.53 for Q4 were much higher than the prior-year quarter's $0.11 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 49.4%, 340 basis points better than the prior-year quarter. Operating margin was 5.4%, 260 basis points better than the prior-year quarter. Net margin was 11.9%, 1,140 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $444.7 million. On the bottom line, the average EPS estimate is $0.65.
Next year's average estimate for revenue is $1.68 billion. The average EPS estimate is $2.83.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 156 members out of 177 rating the stock outperform, and 21 members rating it underperform. Among 71 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 66 give Stewart Information Services a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Stewart Information Services is buy, with an average price target of $35.00.
- Add Stewart Information Services to My Watchlist.