The 10-second takeaway
For the quarter ended March 31 (Q1), Diebold beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share grew significantly.
Margins expanded across the board.
Diebold tallied revenue of $698.5 million. The five analysts polled by S&P Capital IQ anticipated a top line of $646.3 million on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $614.2 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 $0.74. The eight earnings estimates compiled by S&P Capital IQ predicted $0.34 per share on the same basis. GAAP EPS of $0.71 for Q1 were much higher than the prior-year quarter's $0.04 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 27.7%, 240 basis points better than the prior-year quarter. Operating margin was 7.8%, 350 basis points better than the prior-year quarter. Net margin was 6.5%, 610 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $708.9 million. On the bottom line, the average EPS estimate is $0.52.
Next year's average estimate for revenue is $2.97 billion. The average EPS estimate is $2.43.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 155 members out of 191 rating the stock outperform, and 36 members rating it underperform. Among 44 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 38 give Diebold a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Diebold is outperform, with an average price target of $41.20.
Looking to profit from the makers of computer hardware? You may be missing something obvious about where the money will be made in the tech industry of the future. Is Diebold on the right side of the revolution? Check out the changing landscape and meet the company that Motley Fool analysts expect to lead "The Next Trillion-Dollar Revolution." Click here for instant access to this free report.
- Add Diebold to My Watchlist.
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.
More from The Motley Fool
Why Diebold Nixdorf Inc. Stock Popped Today
Wall Street had some kind words for the ATM services leader.
Why Chesapeake Energy, Diebold Nixdorf, and AutoZone Slumped Today
Despite decent performance from the market, these stocks fell. Find out why.
Why Diebold Nixdorf Inc. Stock Plunged Today
The ATM services company plunged after lowering its full-year guidance. Here's what investors need to know.