Leggett & Platt
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Leggett & Platt missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue was unchanged and GAAP earnings per share increased significantly.
Margins increased across the board.
Leggett & Platt reported revenue of $853.0 million. The six analysts polled by S&P Capital IQ looked for a top line of $878.4 million on the same basis. GAAP reported sales were 0.1% lower than the prior-year quarter's $854.1 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 $0.32. The four earnings estimates compiled by S&P Capital IQ averaged $0.36 per share. GAAP EPS of $0.50 for Q4 were much higher than the prior-year quarter's $0.06 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 20.8%, 360 basis points better than the prior-year quarter. Operating margin was 8.9%, 280 basis points better than the prior-year quarter. Net margin was 8.6%, 760 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $980.3 million. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $3.92 billion. The average EPS estimate is $1.64.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 212 members out of 251 rating the stock outperform, and 39 members rating it underperform. Among 85 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 76 give Leggett & Platt a green thumbs-up, and nine give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Leggett & Platt is outperform, with an average price target of $28.50.
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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 position in any of the stocks mentioned. 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.