Cabot Oil & Gas
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Cabot Oil & Gas beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly. Non-GAAP earnings per share grew significantly. GAAP earnings per share grew significantly.
Margins expanded across the board.
Cabot Oil & Gas logged revenue of $369.9 million. The 12 analysts polled by S&P Capital IQ predicted a top line of $349.5 million on the same basis. GAAP reported sales were 38% higher than the prior-year quarter's $268.0 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 $0.27. The 21 earnings estimates compiled by S&P Capital IQ averaged $0.21 per share. Non-GAAP EPS of $0.27 for Q4 were 35% higher than the prior-year quarter's $0.20 per share. GAAP EPS of $0.19 for Q4 were 46% higher than the prior-year quarter's $0.13 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 76.5%, 100 basis points better than the prior-year quarter. Operating margin was 33.0%, 630 basis points better than the prior-year quarter. Net margin was 11.0%, 120 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $362.6 million. On the bottom line, the average EPS estimate is $0.23.
Next year's average estimate for revenue is $1.68 billion. The average EPS estimate is $1.23.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 481 members out of 528 rating the stock outperform, and 47 members rating it underperform. Among 105 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 97 give Cabot Oil & Gas a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cabot Oil & Gas is outperform, with an average price target of $56.33.
Is Cabot Oil & Gas the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.
- Add Cabot Oil & Gas to My Watchlist.
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.
More from The Motley Fool
These 3 Stocks Just Raised Their Dividends
A sturdy industrial company, an oil and gas concern, and a notable regional banking group didn't waste any time declaring their first increases of the year.
Shares of Cabot Oil & Gas Surge on Analyst Upgrade, Pipeline Approval
Analysts seem to be big fans of Cabot's low-cost operations and better takeaway capacity.
Better Buy: Vanguard Natural Resources, LLC vs. Cabot Oil & Gas Corporation
Drilling down into two natural gas-focused producers.