The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Ryland Group missed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share improved.
Margins improved across the board.
Ryland Group notched revenue of $261.8 million. The 14 analysts polled by S&P Capital IQ looked for revenue of $273.5 million. Sales were 15% higher than the prior-year quarter's $227.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.04. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.05 per share on the same basis. GAAP EPS were $0.02 for Q4 compared to -$0.43 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 15.4%, 90 basis points better than the prior-year quarter. Operating margin was 1.5%, 370 basis points better than the prior-year quarter. Net margin was 0.3%, 870 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $208.9 million. On the bottom line, the average EPS estimate is -$0.09.
Next year's average estimate for revenue is $1.07 billion. The average EPS estimate is $0.52.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 256 members out of 602 rating the stock outperform, and 346 members rating it underperform. Among 241 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 90 give Ryland Group a green thumbs-up, and 151 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ryland Group is hold, with an average price target of $16.
Over the decades, small-cap stocks like Ryland Group have produced market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: 2 Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Ryland Group to My Watchlist.