The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Tenneco missed slightly on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted slightly and GAAP earnings per share increased.
Gross margins expanded, operating margins shrank, net margins increased.
Tenneco reported revenue of $1.75 billion. The 11 analysts polled by S&P Capital IQ expected to see revenue of $1.79 billion on the same basis. GAAP reported sales were 1.7% lower than the prior-year quarter's $1.78 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 $0.66. The 13 earnings estimates compiled by S&P Capital IQ predicted $0.67 per share. GAAP EPS of $0.54 for Q4 were 13% higher than the prior-year quarter's $0.48 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 15.9%, 30 basis points better than the prior-year quarter. Operating margin was 4.8%, 60 basis points worse than the prior-year quarter. Net margin was 1.9%, 20 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.89 billion. On the bottom line, the average EPS estimate is $0.76.
Next year's average estimate for revenue is $8.02 billion. The average EPS estimate is $3.75.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 124 members out of 198 rating the stock outperform, and 74 members rating it underperform. Among 72 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 48 give Tenneco 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 Tenneco is outperform, with an average price target of $41.07.
If you're looking for an edge in the transportation segment of the market, consider strong, smaller brands that sell their products to folks like you and me. We've got a couple to offer, plus a home-owner's trusted go-to company, in our new special report, "Middle-Class Millionaire-Makers: 3 Stocks Wall Street's Too Rich to Notice." Click here for instant access to this free report.
- Add Tenneco to My Watchlist.