NGL Energy Partners
The 10-second takeaway
For the quarter ended Dec. 31 (Q3), NGL Energy Partners missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share grew significantly.
Margins grew across the board.
NGL Energy Partners reported revenue of $1.34 billion. The two analysts polled by S&P Capital IQ looked for revenue of $1.45 billion on the same basis. GAAP reported sales were much higher than the prior-year quarter's $470.6 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 $0.75. The two earnings estimates compiled by S&P Capital IQ averaged $0.64 per share. GAAP EPS of $0.75 for Q3 were 200% higher than the prior-year quarter's $0.25 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 10.0%, 340 basis points better than the prior-year quarter. Operating margin was 3.8%, 200 basis points better than the prior-year quarter. Net margin was 3.0%, 170 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.66 billion. On the bottom line, the average EPS estimate is $0.92.
Next year's average estimate for revenue is $4.57 billion. The average EPS estimate is $1.39.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 20 members out of 20 rating the stock outperform, and members rating it underperform. Among seven CAPS All-Star picks (recommendations by the highest-ranked CAPS members), seven give NGL Energy Partners 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 NGL Energy Partners is buy, with an average price target of $29.67.
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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.
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