The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Buckeye Partners met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share increased.
Gross margins shrank, operating margins grew, net margins expanded.
Buckeye Partners reported revenue of $1.12 billion. The five analysts polled by S&P Capital IQ expected revenue of $1.13 billion on the same basis. GAAP reported sales were 29% higher than the prior-year quarter's $1.02 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.64. The one earnings estimate compiled by S&P Capital IQ anticipated $0.82 per share. GAAP EPS were $0.64 for Q3 compared to -$1.88 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 10.4%, 220 basis points worse than the prior-year quarter. Operating margin was 6.7%, 150 basis points better than the prior-year quarter. Net margin was 4.5%, 1,270 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.08 billion. On the bottom line, the average EPS estimate is $0.85.
Next year's average estimate for revenue is $4.57 billion. The average EPS estimate is $3.25.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 214 members out of 232 rating the stock outperform, and 18 members rating it underperform. Among 89 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 85 give Buckeye Partners 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 Buckeye Partners is outperform, with an average price target of $69.60.
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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.