Ameresco
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Ameresco whiffed on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue contracted significantly and GAAP earnings per share dropped significantly.
Gross margins grew, operating margins dropped, net margins shrank.
Revenue details
Ameresco logged revenue of $163.9 million. The five analysts polled by S&P Capital IQ expected net sales of $196.0 million on the same basis. GAAP reported sales were 28% lower than the prior-year quarter's $227.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS details
EPS came in at $0.15. The four earnings estimates compiled by S&P Capital IQ predicted $0.23 per share. GAAP EPS of $0.15 for Q3 were 44% lower than the prior-year quarter's $0.27 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Margin details
For the quarter, gross margin was 21.2%, 340 basis points better than the prior-year quarter. Operating margin was 6.5%, 120 basis points worse than the prior-year quarter. Net margin was 4.1%, 130 basis points worse than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $204.0 million. On the bottom line, the average EPS estimate is $0.32.
Next year's average estimate for revenue is $700.1 million. The average EPS estimate is $0.65.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 417 members out of 423 rating the stock outperform, and six members rating it underperform. Among 73 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 73 give Ameresco a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ameresco is outperform, with an average price target of $14.33.
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