Universal Stainless & Alloy Products
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Universal Stainless & Alloy Products whiffed on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly, and GAAP earnings per share improved.
Gross margins expanded, operating margins expanded, net margins dropped.
Universal Stainless & Alloy Products chalked up revenue of $62.2 million. The two analysts polled by S&P Capital IQ wanted to see revenue of $75.6 million. Sales were 21% higher than the prior-year quarter's $51.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.72. The four earnings estimates compiled by S&P Capital IQ forecast $0.66 per share on the same basis. GAAP EPS of $0.59 for Q4 were 14% higher than the prior-year quarter's $0.52 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 19.1%, 200 basis points better than the prior-year quarter. Operating margin was 11.3%, 70 basis points better than the prior-year quarter. Net margin was 6.8%, 10 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $120.6 million. On the bottom line, the average EPS estimate is $0.91.
Next year's average estimate for revenue is $433.4 million. The average EPS estimate is $3.77.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 388 members out of 408 rating the stock outperform, and 20 members rating it underperform. Among 113 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 113 give Universal Stainless & Alloy Products a green thumbs-up, and zero give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Universal Stainless & Alloy Products is outperform, with an average price target of $53.33.
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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. 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.