The 10-second takeaway
For the quarter ended June 30 (Q2), Swift Transportation met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased slightly and GAAP earnings per share improved significantly.
Margins grew across the board.
Swift Transportation reported revenue of $872.6 million. The 14 analysts polled by S&P Capital IQ expected sales of $880.7 million on the same basis. GAAP reported sales were 2.6% higher than the prior-year quarter's $850.5 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 $0.24. The 13 earnings estimates compiled by S&P Capital IQ predicted $0.21 per share. GAAP EPS of $0.24 for Q2 were 71% higher than the prior-year quarter's $0.14 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 20.6%, 40 basis points better than the prior-year quarter. Operating margin was 9.5%, 100 basis points better than the prior-year quarter. Net margin was 3.9%, 160 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $839.4 million. On the bottom line, the average EPS estimate is $0.19.
Next year's average estimate for revenue is $3.41 billion. The average EPS estimate is $0.78.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 25 members out of 26 rating the stock outperform, and one members rating it underperform. Among six CAPS All-Star picks (recommendations by the highest-ranked CAPS members), six give Swift Transportation a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Swift Transportation is outperform, with an average price target of $13.83.
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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.