The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Morningstar missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share increased significantly.
Gross margins dropped, operating margins contracted, net margins expanded.
Morningstar reported revenue of $151.8 million. The one analyst polled by S&P Capital IQ predicted sales of $160.5 million on the same basis. GAAP reported sales were 4.9% higher than the prior-year quarter's $151.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.44. The one earnings estimate compiled by S&P Capital IQ anticipated $0.46 per share on the same basis. GAAP EPS of $0.55 for Q1 were 20% higher than the prior-year quarter's $0.46 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 69.6%, 240 basis points worse than the prior-year quarter. Operating margin was 22.0%, 70 basis points worse than the prior-year quarter. Net margin was 17.6%, 210 basis points better than the prior-year quarter.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 994 members rating the stock outperform and 28 members rating it underperform. Among 434 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 428 give Morningstar a green thumbs-up, and six give it a red thumbs-down.
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