Please ensure Javascript is enabled for purposes of website accessibility

US Airways Group Beats Up on Analysts Yet Again

By Seth Jayson - Updated Apr 10, 2017 at 1:42PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Just the facts, Fool.

US Airways Group (NYSE: LCC) reported earnings on April 23. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), US Airways Group met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share expanded. GAAP earnings per share dropped.

Gross margins expanded, operating margins grew, net margins contracted.

Revenue details
US Airways Group chalked up revenue of $3.38 billion. The seven analysts polled by S&P Capital IQ foresaw a top line of $3.36 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.31. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.26 per share. Non-GAAP EPS were $0.31 for Q1 compared to -$0.13 per share for the prior-year quarter. GAAP EPS of $0.26 for Q1 were 7.1% lower than the prior-year quarter's $0.28 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 18.5%, 210 basis points better than the prior-year quarter. Operating margin was 4.2%, 230 basis points better than the prior-year quarter. Net margin was 1.3%, 20 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $3.90 billion. On the bottom line, the average EPS estimate is $1.56.

Next year's average estimate for revenue is $14.46 billion. The average EPS estimate is $3.03.

Investor sentiment
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 485 members out of 826 rating the stock outperform, and 341 members rating it underperform. Among 187 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 111 give US Airways Group a green thumbs-up, and 76 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on US Airways Group is outperform, with an average price target of $19.27.

Looking for alternatives to US Airways Group? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 07/04/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.