The 10-second takeaway
For the quarter ended Jan. 1 (Q1), Ruddick beat slightly on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded slightly and GAAP earnings per share contracted significantly.
Margins shrank across the board.
Ruddick notched revenue of $1.12 billion. The two analysts polled by S&P Capital IQ predicted sales of $1.11 billion. Sales were 1.3% higher than the prior-year quarter's $1.11 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.53. The two earnings estimates compiled by S&P Capital IQ forecast $0.52 per share on the same basis. GAAP EPS of $0.28 for Q1 were 64% lower than the prior-year quarter's $0.78 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 29.2%, 10 basis points worse than the prior-year quarter. Operating margin was 4.1%, 20 basis points worse than the prior-year quarter. Net margin was 1.2%, 220 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.12 billion. On the bottom line, the average EPS estimate is $0.62.
Next year's average estimate for revenue is $4.57 billion. The average EPS estimate is $2.42.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 76 members out of 94 rating the stock outperform, and 18 members rating it underperform. Among 32 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 28 give Ruddick a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ruddick is outperform, with an average price target of $51.00.
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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.