The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Comcast met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased. Non-GAAP earnings per share expanded. GAAP earnings per share grew significantly.
Margins grew across the board.
Comcast booked revenue of $15.94 billion. The 25 analysts polled by S&P Capital IQ expected net sales of $15.96 billion on the same basis. GAAP reported sales were 6.0% higher than the prior-year quarter's $15.04 billion.
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 $0.52. The 27 earnings estimates compiled by S&P Capital IQ forecast $0.54 per share. Non-GAAP EPS of $0.52 for Q4 were 11% higher than the prior-year quarter's $0.47 per share. GAAP EPS of $0.56 for Q4 were 19% higher than the prior-year quarter's $0.47 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 152.0%, 160 basis points better than the prior-year quarter. Operating margin was 20.7%, 30 basis points better than the prior-year quarter. Net margin was 9.5%, 90 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $15.46 billion. On the bottom line, the average EPS estimate is $0.52.
Next year's average estimate for revenue is $64.23 billion. The average EPS estimate is $2.37.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 887 members out of 1,072 rating the stock outperform, and 185 members rating it underperform. Among 315 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 272 give Comcast a green thumbs-up, and 43 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Comcast is outperform, with an average price target of $41.94.
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