Plains Exploration & Production
The 10-second takeaway
For the quarter ended March 31 (Q1), Plains Exploration & Production missed estimates on revenues and missed estimates on earnings per share.
Compared with the prior-year quarter, revenue increased significantly and GAAP earnings per share contracted to a loss.
Gross margins improved, operating margins expanded, net margins dropped.
Plains Exploration & Production logged revenue of $524.3 million. The six analysts polled by S&P Capital IQ anticipated a top line of $547.2 million on the same basis. GAAP reported sales were 22% higher than the prior-year quarter's $430.3 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 $0.58. The 14 earnings estimates compiled by S&P Capital IQ anticipated $0.62 per share. GAAP EPS were -$0.64 for Q1 compared to $0.49 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 76.8%, 520 basis points better than the prior-year quarter. Operating margin was 32.7%, 1,350 basis points better than the prior-year quarter. Net margin was -14.0%, 3,050 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $573.8 million. On the bottom line, the average EPS estimate is $0.67.
Next year's average estimate for revenue is $2.39 billion. The average EPS estimate is $3.09.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 401 members out of 415 rating the stock outperform, and 14 members rating it underperform. Among 88 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 85 give Plains Exploration & Production a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Plains Exploration & Production is outperform, with an average price target of $53.88.
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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. He is the 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 don't 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.