The 10-second takeaway
For the quarter ended March 31 (Q1), Atlas Energy missed estimates on revenues and missed expectations on earnings per share.
Compared with the prior-year quarter, revenue increased significantly and GAAP earnings per share contracted to a loss.
Margins contracted across the board.
Atlas Energy reported revenue of $364.7 million. The one analyst polled by S&P Capital IQ expected a top line of $377.4 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $322.2 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 -$0.06. The one earnings estimate compiled by S&P Capital IQ predicted $0.30 per share. GAAP EPS were -$0.36 for Q1 versus $0.64 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 18.7%, 110 basis points worse than the prior-year quarter. Operating margin was 0.3%, 20 basis points worse than the prior-year quarter. Net margin was -5.1%, 1,450 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $346.7 million. On the bottom line, the average EPS estimate is $0.26.
Next year's average estimate for revenue is $1.76 billion. The average EPS estimate is $1.11.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 233 members out of 250 rating the stock outperform, and 18 members rating it underperform. Among 75 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 72 give Atlas Energy 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 Atlas Energy is outperform, with an average price target of $34.00.
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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. 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.