The 10-second takeaway
For the quarter ended March 31 (Q1), Verisk Analytics met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share grew significantly. GAAP earnings per share expanded.
Margins dropped across the board.
Verisk Analytics recorded revenue of $403.3 million. The 10 analysts polled by S&P Capital IQ foresaw a top line of $403.4 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $346.5 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 $0.53. The 12 earnings estimates compiled by S&P Capital IQ predicted $0.53 per share. Non-GAAP EPS of $0.53 for Q1 were 20% higher than the prior-year quarter's $0.44 per share. GAAP EPS of $0.47 for Q1 were 6.8% higher than the prior-year quarter's $0.44 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 59.2%, 230 basis points worse than the prior-year quarter. Operating margin was 36.6%, 350 basis points worse than the prior-year quarter. Net margin was 20.0%, 150 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $420.5 million. On the bottom line, the average EPS estimate is $0.54.
Next year's average estimate for revenue is $1.73 billion. The average EPS estimate is $2.32.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 84 members out of 94 rating the stock outperform, and 10 members rating it underperform. Among 28 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 28 give Verisk Analytics a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Verisk Analytics is outperform, with an average price target of $62.00.
Looking for alternatives to Verisk Analytics? 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.
- Add Verisk Analytics to My Watchlist.