Express Scripts Holding
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Express Scripts Holding missed slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share shrank significantly.
Gross margins expanded, operating margins dropped, net margins dropped.
Express Scripts Holding reported revenue of $27.00 billion. The 18 analysts polled by S&P Capital IQ expected to see revenue of $27.46 billion on the same basis. GAAP reported sales were much higher than the prior-year quarter's $11.57 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 $1.02. The 20 earnings estimates compiled by S&P Capital IQ predicted $0.99 per share. GAAP EPS of $0.47 for Q3 were 29% lower than the prior-year quarter's $0.66 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 7.9%, 70 basis points better than the prior-year quarter. Operating margin was 3.0%, 240 basis points worse than the prior-year quarter. Net margin was 1.4%, 140 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $27.99 billion. On the bottom line, the average EPS estimate is $1.05.
Next year's average estimate for revenue is $95.11 billion. The average EPS estimate is $3.70.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 732 members out of 776 rating the stock outperform, and 44 members rating it underperform. Among 188 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 179 give Express Scripts Holding a green thumbs-up, and nine give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Express Scripts Holding is outperform, with an average price target of $69.15.
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