The 10-second takeaway
For the quarter ended March 31 (Q4), Consolidated Graphics missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank slightly and GAAP earnings per share shrank to a loss.
Margins shrank across the board.
Consolidated Graphics tallied revenue of $250.6 million. The three analysts polled by S&P Capital IQ predicted a top line of $261.4 million on the same basis. GAAP reported sales were 2.9% lower than the prior-year quarter's $258.1 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 $0.23. The three earnings estimates compiled by S&P Capital IQ predicted $0.77 per share. GAAP EPS were -$0.57 for Q4 versus $0.77 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 22.0%, 300 basis points worse than the prior-year quarter. Operating margin was -3.4%, 900 basis points worse than the prior-year quarter. Net margin was -2.3%, 580 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $255.4 million. On the bottom line, the average EPS estimate is $0.17.
Next year's average estimate for revenue is $1.10 billion. The average EPS estimate is $3.60.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 52 members rating the stock outperform and five members rating it underperform. Among 21 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 20 give Consolidated Graphics a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Consolidated Graphics is buy, with an average price target of $66.50.
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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.