Stewart Information Services
The 10-second takeaway
For the quarter ended March 31 (Q1), Stewart Information Services missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP loss per share expanded.
Gross margins improved, operating margins shrank, net margins contracted.
Stewart Information Services reported revenue of $385.0 million. The two analysts polled by S&P Capital IQ anticipated a top line of $416.7 million on the same basis. GAAP reported sales were 5.1% higher than the prior-year quarter's $366.4 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 -$0.63. The one earnings estimate compiled by S&P Capital IQ anticipated -$0.47 per share. GAAP EPS were -$0.63 for Q1 against -$0.55 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 49.6%, 140 basis points better than the prior-year quarter. Operating margin was -1.7%, 30 basis points worse than the prior-year quarter. Net margin was -3.2%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $461.8 million. On the bottom line, the average EPS estimate is $0.39.
Next year's average estimate for revenue is $1.78 billion. The average EPS estimate is $0.90.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 147 members out of 165 rating the stock outperform, and 18 members rating it underperform. Among 60 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 55 give Stewart Information Services a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Stewart Information Services is hold, with an average price target of $14.50.
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