The 10-second takeaway
For the quarter ended Feb. 2 (Q4), Express met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew. GAAP earnings per share grew.
Margins shrank across the board.
Express tallied revenue of $728.7 million. The eight analysts polled by S&P Capital IQ expected a top line of $722.4 million on the same basis. GAAP reported sales were 8.3% higher than the prior-year quarter's $673.2 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 11 earnings estimates compiled by S&P Capital IQ averaged $0.74 per share. GAAP EPS of $0.75 for Q4 were 10% higher than the prior-year quarter's $0.68 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 35.1%, much worse than the prior-year quarter. Operating margin was 15.3%, 90 basis points worse than the prior-year quarter. Net margin was 8.8%, 20 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $509.7 million. On the bottom line, the average EPS estimate is $0.45.
Next year's average estimate for revenue is $2.23 billion. The average EPS estimate is $1.71.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 68 members out of 77 rating the stock outperform, and nine members rating it underperform. Among 20 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 17 give Express 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 Express is outperform, with an average price target of $19.70.
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