The 10-second takeaway
For the quarter ended Sep. 30 (Q3), BP crushed expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP earnings per share grew.
Margins grew across the board.
BP notched revenue of $90.59 billion. The two analysts polled by S&P Capital IQ anticipated a top line of $70.58 billion on the same basis. GAAP reported sales were 5.0% lower than the prior-year quarter's $95.38 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 $1.63. The 10 earnings estimates compiled by S&P Capital IQ forecast $1.32 per share. GAAP EPS of $0.28 for Q3 were 7.7% higher than the prior-year quarter's $0.26 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 14.8%, 250 basis points better than the prior-year quarter. Operating margin was 7.1%, 120 basis points better than the prior-year quarter. Net margin was 6.0%, 70 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $89.09 billion. On the bottom line, the average EPS estimate is $1.63.
Next year's average estimate for revenue is $349.45 billion. The average EPS estimate is $5.57.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 4,914 members out of 5,237 rating the stock outperform, and 323 members rating it underperform. Among 1,090 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,041 give BP a green thumbs-up, and 49 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on BP is outperform, with an average price target of $48.53.
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Seth Jayson owned shares of the following at the time of publication: BP. 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 has no positions in the stocks mentioned above. 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.