The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Silver Wheaton whiffed on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped.
Gross margins dropped, operating margins contracted, net margins grew.
Silver Wheaton chalked up revenue of $161.3 million. The five analysts polled by S&P Capital IQ hoped for sales of $193.0 million on the same basis. GAAP reported sales were 13% lower than the prior-year quarter's $185.2 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 $0.34. The 13 earnings estimates compiled by S&P Capital IQ predicted $0.40 per share. GAAP EPS of $0.34 for Q3 were 11% lower than the prior-year quarter's $0.38 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 86.7%, 190 basis points worse than the prior-year quarter. Operating margin was 73.6%, 430 basis points worse than the prior-year quarter. Net margin was 74.2%, 130 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $224.2 million. On the bottom line, the average EPS estimate is $0.47.
Next year's average estimate for revenue is $818.4 million. The average EPS estimate is $1.70.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,608 members out of 2,720 rating the stock outperform, and 112 members rating it underperform. Among 592 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 568 give Silver Wheaton a green thumbs-up, and 24 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Silver Wheaton is outperform, with an average price target of $44.00.
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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 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.