The 10-second takeaway
For the quarter ended Dec. 31 (Q4), CBIZ beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share grew.
Margins increased across the board.
CBIZ reported revenue of $172.9 million. The three analysts polled by S&P Capital IQ hoped for net sales of $169.5 million on the same basis. GAAP reported sales were 5.6% higher than the prior-year quarter's $163.7 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 $0.02. The three earnings estimates compiled by S&P Capital IQ averaged $0.00 per share. GAAP EPS were $0.02 for Q4 compared to -$0.02 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 3.8%, 130 basis points better than the prior-year quarter. Operating margin was 1.1%, 310 basis points better than the prior-year quarter. Net margin was 0.7%, 140 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $239.8 million. On the bottom line, the average EPS estimate is $0.39.
Next year's average estimate for revenue is $817.3 million. The average EPS estimate is $0.67.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 117 members out of 125 rating the stock outperform, and eight members rating it underperform. Among 33 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 33 give CBIZ 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 CBIZ is outperform, with an average price target of $7.75.
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