The 10-second takeaway
For the quarter ended March 31 (Q1), Bankrate beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share dropped significantly. GAAP earnings per share dropped significantly.
Margins shrank across the board.
Bankrate recorded revenue of $108.4 million. The 10 analysts polled by S&P Capital IQ looked for sales of $102.4 million on the same basis. GAAP reported sales were 13% lower than the prior-year quarter's $125.0 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 $0.12. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.09 per share. Non-GAAP EPS of $0.12 for Q1 were 33% lower than the prior-year quarter's $0.18 per share. GAAP EPS of $0.02 for Q1 were 80% lower than the prior-year quarter's $0.10 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 66.8%, 90 basis points worse than the prior-year quarter. Operating margin was 10.8%, 790 basis points worse than the prior-year quarter. Net margin was 2.0%, 610 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $107.4 million. On the bottom line, the average EPS estimate is $0.11.
Next year's average estimate for revenue is $453.4 million. The average EPS estimate is $0.50.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 18 members out of 33 rating the stock outperform, and 15 members rating it underperform. Among 11 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), four give Bankrate a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Bankrate is outperform, with an average price target of $12.45.
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