The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Brightpoint beat expectations on revenue and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share shrank.
Margins dropped across the board.
Brightpoint recorded revenue of $1.56 billion. The nine analysts polled by S&P Capital IQ predicted sales of $1.39 billion. Sales were 39% higher than the prior-year quarter's $1.12 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.34. The nine earnings estimates compiled by S&P Capital IQ predicted $0.34 per share on the same basis. GAAP EPS of $0.22 for Q4 were 4.3% lower than the prior-year quarter's $0.23 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 6.5%, 200 basis points worse than the prior-year quarter. Operating margin was 1.7%, 90 basis points worse than the prior-year quarter. Net margin was 1.0%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.25 billion. On the bottom line, the average EPS estimate is $0.23.
Next year's average estimate for revenue is $5.36 billion. The average EPS estimate is $1.15.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 325 members out of 336 rating the stock outperform, and 11 members rating it underperform. Among 97 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 95 give Brightpoint a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Brightpoint is outperform, with an average price target of $12.72.
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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.