Titan International
The 10-second takeaway
For the quarter ended March 31 (Q1), Titan International beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share expanded.
Margins improved across the board.
Revenue details
Titan International recorded revenue of $463.1 million. The six analysts polled by S&P Capital IQ expected sales of $433.8 million on the same basis. GAAP reported sales were 65% higher than the prior-year quarter's $280.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS details
Non-GAAP EPS came in at $0.78. The six earnings estimates compiled by S&P Capital IQ forecast $0.52 per share on the same basis. GAAP EPS were $0.68 for Q1 versus -$0.07 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Margin details
For the quarter, gross margin was 19.7%, 70 basis points better than the prior-year quarter. Operating margin was 12.7%, 310 basis points better than the prior-year quarter. Net margin was 7.6%, 870 basis points better than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $493.9 million. On the bottom line, the average EPS estimate is $0.64.
Next year's average estimate for revenue is $1.93 billion. The average EPS estimate is $2.37.
Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 196 members out of 220 rating the stock outperform, and 24 members rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 51 give Titan International 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 Titan International is buy, with an average price target of $31.17.
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