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Heckmann Earnings Are on Deck

By Seth Jayson – Updated Apr 10, 2017 at 7:28AM

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Checking expectations

Heckmann (NYSE: HEK) is expected to report Q1 earnings around May 8. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Heckmann's revenues will increase 203.7% and EPS will remain in the red.

The average estimate for revenue is $166.9 million. On the bottom line, the average EPS estimate is -$0.01.

Revenue details
Last quarter, Heckmann logged revenue of $113.2 million. GAAP reported sales were much higher than the prior-year quarter's $51.7 million.

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

EPS details
Last quarter, EPS came in at $0.03. GAAP EPS were $0.03 for Q4 versus -$0.02 per share for the prior-year quarter.

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

Recent performance
For the preceding quarter, gross margin was 6.9%, 630 basis points worse than the prior-year quarter. Operating margin was -10.5%, 500 basis points better than the prior-year quarter. Net margin was 4.4%, 920 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $766.8 million. The average EPS estimate is $0.10.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 541 members out of 557 rating the stock outperform, and 16 members rating it underperform. Among 115 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 110 give Heckmann a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Heckmann is hold, with an average price target of $5.29.

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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 owns shares of Heckmann and has the following options: Long Jan 2014 $4 Calls on Heckmann and Short Jan 2014 $3 Puts on Heckmann. 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.

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