Capital Product Partners
The 10-second takeaway
For the quarter ended March 31 (Q1), Capital Product Partners beat expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share contracted significantly. GAAP earnings per share expanded significantly.
Margins grew across the board.
Capital Product Partners reported revenue of $40.0 million. The seven analysts polled by S&P Capital IQ predicted a top line of $39.1 million 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 came in at $0.03. The seven earnings estimates compiled by S&P Capital IQ averaged $0.07 per share. Non-GAAP EPS of $0.03 for Q1 were 40% lower than the prior-year quarter's $0.05 per share. GAAP EPS of $0.28 for Q1 were 460% higher than the prior-year quarter's $0.05 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 63.8%, 160 basis points better than the prior-year quarter. Operating margin was 27.6%, 170 basis points better than the prior-year quarter. Net margin was 62.6%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $43.7 million. On the bottom line, the average EPS estimate is $0.09.
Next year's average estimate for revenue is $171.5 million. The average EPS estimate is $0.31.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 169 members out of 178 rating the stock outperform, and nine members rating it underperform. Among 49 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 46 give Capital Product Partners 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 Capital Product Partners is outperform, with an average price target of $7.88.
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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.