The 10-second takeaway
For the quarter ended March 31 (Q1), JetBlue Airways met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share increased significantly.
Gross margins dropped, operating margins expanded, net margins expanded.
JetBlue Airways recorded revenue of $1.20 billion. The 10 analysts polled by S&P Capital IQ expected a top line of $1.19 billion on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $1.01 billion.
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 $0.09. The 11 earnings estimates compiled by S&P Capital IQ anticipated $0.08 per share. GAAP EPS of $0.09 for Q1 were much higher than the prior-year quarter's $0.01 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 27.3%, 50 basis points worse than the prior-year quarter. Operating margin was 7.4%, 300 basis points better than the prior-year quarter. Net margin was 2.5%, 220 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.28 billion. On the bottom line, the average EPS estimate is $0.15.
Next year's average estimate for revenue is $5.04 billion. The average EPS estimate is $0.50.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 952 members out of 1,162 rating the stock outperform, and 210 members rating it underperform. Among 299 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 245 give JetBlue Airways a green thumbs-up, and 54 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on JetBlue Airways is outperform, with an average price target of $7.13.
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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.