The 10-second takeaway
For the quarter ended June 30 (Q2), Praxair missed estimates on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly and GAAP earnings per share expanded slightly.
Margins expanded across the board.
Praxair logged revenue of $2.81 billion. The 12 analysts polled by S&P Capital IQ wanted to see a top line of $2.92 billion on the same basis. GAAP reported sales were 1.6% lower than the prior-year quarter's $2.86 billion.
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 $1.42. The 16 earnings estimates compiled by S&P Capital IQ predicted $1.42 per share. GAAP EPS of $1.42 for Q2 were 2.9% higher than the prior-year quarter's $1.38 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 43.0%, 40 basis points better than the prior-year quarter. Operating margin was 22.6%, 60 basis points better than the prior-year quarter. Net margin was 15.3%, 40 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $2.98 billion. On the bottom line, the average EPS estimate is $1.49.
Next year's average estimate for revenue is $11.73 billion. The average EPS estimate is $5.79.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 667 members out of 694 rating the stock outperform, and 27 members rating it underperform. Among 151 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 148 give Praxair 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 Praxair is outperform, with an average price target of $119.89.
Can your retirement portfolio provide you with enough income to last? You'll need more than Praxair. Learn about crafting a smarter retirement plan in "The Shocking Can't-Miss Truth About Your Retirement." Click here for instant access to this free report.
- Add Praxair to My Watchlist.
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.