The 10-second takeaway
For the quarter ended Sep. 30 (Q3), TransGlobe Energy missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share contracted significantly.
Margins shrank across the board.
TransGlobe Energy tallied revenue of $74.6 million. The three analysts polled by S&P Capital IQ foresaw revenue of $79.5 million on the same basis. GAAP reported sales were 4.0% higher than the prior-year quarter's $71.8 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 $0.16. The three earnings estimates compiled by S&P Capital IQ predicted $0.34 per share. GAAP EPS of $0.16 for Q3 were 54% lower than the prior-year quarter's $0.35 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 84.4%, 200 basis points worse than the prior-year quarter. Operating margin was 59.7%, 570 basis points worse than the prior-year quarter. Net margin was 15.8%, 2,060 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $92.0 million. On the bottom line, the average EPS estimate is $0.46.
Next year's average estimate for revenue is $321.8 million. The average EPS estimate is $1.31.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 502 members out of 525 rating the stock outperform, and 23 members rating it underperform. Among 101 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 101 give TransGlobe Energy 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 TransGlobe Energy is outperform, with an average price target of $14.75.
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