The 10-second takeaway
For the quarter ended March 31 (Q1), Forward Air beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share grew significantly.
Margins expanded across the board.
Forward Air reported revenue of $137.1 million. The nine analysts polled by S&P Capital IQ looked for a top line of $131.0 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $120.2 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 $0.35. The 12 earnings estimates compiled by S&P Capital IQ averaged $0.34 per share. GAAP EPS of $0.35 for Q1 were 30% higher than the prior-year quarter's $0.27 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 25.6%, 40 basis points better than the prior-year quarter. Operating margin was 12.2%, 110 basis points better than the prior-year quarter. Net margin was 7.5%, 100 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $144.3 million. On the bottom line, the average EPS estimate is $0.46.
Next year's average estimate for revenue is $587.8 million. The average EPS estimate is $1.85.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 109 members out of 121 rating the stock outperform, and 12 members rating it underperform. Among 36 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 32 give Forward Air 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 Forward Air is hold, with an average price target of $38.00.
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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.