The 10-second takeaway
For the quarter ended Dec. 31 (Q4), EnerNOC beat expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP loss per share increased.
Gross margins expanded, operating margins dropped, and net margins dropped.
EnerNOC tallied revenue of $26.8 million. The 11 analysts polled by S&P Capital IQ expected sales of $25.6 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $22.7 million.
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 -$1.08. The 14 earnings estimates compiled by S&P Capital IQ forecast -$0.98 per share. GAAP EPS were -$1.08 for Q4 versus -$0.85 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 21.0%, 180 basis points better than the prior-year quarter. Operating margin was -110.0%, 990 basis points worse than the prior-year quarter. Net margin was -104.7%, 1,140 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $29.8 million. On the bottom line, the average EPS estimate is -$0.89.
Next year's average estimate for revenue is $257.3 million. The average EPS estimate is -$1.29.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 692 members out of 728 rating the stock outperform, and 36 members rating it underperform. Among 212 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 201 give EnerNOC a green thumbs-up, and 11 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on EnerNOC is hold, with an average price target of $15.50.
Over the decades, small-cap stocks like EnerNOC 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 EnerNOC to My Watchlist.
Seth Jayson owned shares of the following at the time of publication: EnerNOC. 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. The Motley Fool owns shares of EnerNOC. Motley Fool newsletter services have recommended buying shares of EnerNOC. Motley Fool newsletter services have recommended writing puts on EnerNOC. 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.