Plains Exploration & Production
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Plains Exploration & Production beat expectations on revenues and missed estimates 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 grew across the board.
Plains Exploration & Production recorded revenue of $869.2 million. The six analysts polled by S&P Capital IQ wanted to see revenue of $782.4 million on the same basis. GAAP reported sales were 68% higher than the prior-year quarter's $517.5 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 $0.42. The 13 earnings estimates compiled by S&P Capital IQ forecast $0.51 per share. Non-GAAP EPS of $0.42 for Q4 were 110% higher than the prior-year quarter's $0.20 per share. GAAP EPS of $1.65 for Q4 were 139% higher than the prior-year quarter's $0.69 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 78.0%, 910 basis points better than the prior-year quarter. Operating margin was 24.4%, 690 basis points better than the prior-year quarter. Net margin was 25.2%, 630 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.12 billion. On the bottom line, the average EPS estimate is $0.80.
Next year's average estimate for revenue is $4.36 billion. The average EPS estimate is $2.38.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 383 members out of 398 rating the stock outperform, and 15 members rating it underperform. Among 87 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 84 give Plains Exploration & Production a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Plains Exploration & Production is hold, with an average price target of $47.45.
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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.