Lumber Liquidators Holdings
The 10-second takeaway
For the quarter ended June 30 (Q2), Lumber Liquidators Holdings beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share expanded significantly.
Margins increased across the board.
Lumber Liquidators Holdings tallied revenue of $210.3 million. The 12 analysts polled by S&P Capital IQ wanted to see revenue of $196.1 million on the same basis. GAAP reported sales were 20% higher than the prior-year quarter's $175.5 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 $0.43. The 11 earnings estimates compiled by S&P Capital IQ predicted $0.28 per share. GAAP EPS of $0.43 for Q2 were 126% higher than the prior-year quarter's $0.19 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 37.3%, 330 basis points better than the prior-year quarter. Operating margin was 9.4%, 450 basis points better than the prior-year quarter. Net margin was 5.8%, 280 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $184.5 million. On the bottom line, the average EPS estimate is $0.30.
Next year's average estimate for revenue is $755.0 million. The average EPS estimate is $1.22.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 559 members out of 587 rating the stock outperform, and 28 members rating it underperform. Among 170 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 163 give Lumber Liquidators Holdings a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Lumber Liquidators Holdings is hold, with an average price target of $28.50.
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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. The Motley Fool owns shares of Lumber Liquidators Holdings. Motley Fool newsletter services have recommended buying shares of Lumber Liquidators Holdings. 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.