The 10-second takeaway
For the quarter ended March 31 (Q1), Middlesex Water missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue contracted slightly and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Middlesex Water logged revenue of $23.5 million. The three analysts polled by S&P Capital IQ expected sales of $25.2 million on the same basis. GAAP reported sales were 1.9% lower than the prior-year quarter's $24.0 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 $0.11. The three earnings estimates compiled by S&P Capital IQ averaged $0.16 per share. GAAP EPS of $0.11 for Q1 were 35% lower than the prior-year quarter's $0.17 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 38.9%, 260 basis points worse than the prior-year quarter. Operating margin was 16.5%, 340 basis points worse than the prior-year quarter. Net margin was 7.7%, 330 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $27.7 million. On the bottom line, the average EPS estimate is $0.26.
Next year's average estimate for revenue is $109.7 million. The average EPS estimate is $0.97.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 52 members out of 60 rating the stock outperform, and eight members rating it underperform. Among 20 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 17 give Middlesex Water 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 Middlesex Water is outperform, with an average price target of $20.00.
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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.