Will CF Industries Holdings Beat These Analyst Estimates?

CF Industries Holdings (NYSE: CF  ) is expected to report Q1 earnings on May 8. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict CF Industries Holdings's revenues will wither -5.9% and EPS will contract -2.3%.

The average estimate for revenue is $1.44 billion. On the bottom line, the average EPS estimate is $5.92.

Revenue details
Last quarter, CF Industries Holdings booked revenue of $1.48 billion. GAAP reported sales were 14% lower than the prior-year quarter's $1.72 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $7.27. GAAP EPS of $7.43 for Q4 were 12% higher than the prior-year quarter's $6.65 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 44.3%, 600 basis points worse than the prior-year quarter. Operating margin was 41.5%, 680 basis points worse than the prior-year quarter. Net margin was 31.8%, 630 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $5.97 billion. The average EPS estimate is $25.57.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,276 members out of 1,323 rating the stock outperform, and 47 members rating it underperform. Among 243 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 232 give CF Industries Holdings a green thumbs-up, and 11 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on CF Industries Holdings is hold, with an average price target of $232.57.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of CF Industries Holdings. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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