The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Global Partners crushed expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share expanded significantly.
Margins increased across the board.
Global Partners logged revenue of $4.62 billion. The three analysts polled by S&P Capital IQ foresaw net sales of $3.74 billion on the same basis. GAAP reported sales were 23% higher than the prior-year quarter's $3.77 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 $0.24. The four earnings estimates compiled by S&P Capital IQ anticipated $0.36 per share. GAAP EPS of $0.24 for Q3 were 200% higher than the prior-year quarter's $0.08 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 1.8%, 50 basis points better than the prior-year quarter. Operating margin was 0.4%, 10 basis points better than the prior-year quarter. Net margin was 0.1%, 10 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $3.62 billion. On the bottom line, the average EPS estimate is $0.48.
Next year's average estimate for revenue is $15.22 billion. The average EPS estimate is $1.35.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 140 members out of 148 rating the stock outperform, and eight members rating it underperform. Among 32 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 31 give Global Partners a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Global Partners is hold, with an average price target of $24.75.
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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. TMFDisclosureHere